Question

There are two producers of wagon wheels that together are the exclusive providers to a large community. the executives of these companies meet to set minimum prices and production levels, thereby ensuring that they each will make a higher profit than they would in a free market. this is an example of a(n): dictatorship. autocracy. monopoly. oligopoly.

Answer 1

This is an example of "oligopoly".

Step-by-step explanation:

Oligopoly refers to a term which means many firms and this is related to a market structure which is dominated by small number of large firms. There are some advantages as well as disadvantages of oligopoly markets. Firms under oligopoly markets can be comfortable to work with each other and they can also harm each other.