Final answer:
The statement is true, as an oligopoly is a market structure with only a few sellers dominating the market, which aligns with the description of the Baltimore furniture market scenario.
Step-by-step explanation:
If the Baltimore furniture market had only a few sellers, it would indeed be considered an oligopoly. This is because an oligopoly is defined as a market structure in which a small number of firms dominate the market. These firms hold major market power and have the ability to set prices within the market due to the lack of significant competition. Oligopolists may earn their highest profits if they can act together as a cartel, effectively behaving like a monopolist by reducing output and raising prices. However, such collusion is often unstable for two reasons: the incentive for individual firms to cheat and increase output, and the fact that explicit collusion is illegal.