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Antel and imd both produce similar computer chips and the two companies dominante this

User Kuporific
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2 Answers

4 votes

Answer:

Because it will restrict the supply of computer chips

Step-by-step explanation:

Antel and imd both produce similar computer chips and the two companies dominante this

Because they can both charge more for the product at the given level of production

Because it will restrict the supply of computer chips

Because overall demand for computer chips will increase

Because the firms' marginal costs increase as output increases

As both companies have the total supply of the product in the market they can dominate everything that they are providing because of this, they cab restrict the supply of the computer chips, if they cooperate and work together they can set a minimum price and a ceiling price, they can dictate how the market flows, because of that, the price of the computer chips will depend solely on them.

User Tudor Timi
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8.3k points
2 votes
Below are the choices that should accompanied your question above:

Because they can both charge more for the product at the given level of production

Because it will restrict the supply of computer chips

Because overall demand for computer chips will increase

Because the firms' marginal costs increase as output increases

I think the answer is the first one.
User JMarsh
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8.7k points