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Game theory is Group of answer choices The study of price-fixing and collusion. The study of decision making in situations where strategic interaction occurs between rivals. An explanation of how oligopolists become monopolists. Practiced by perfectly competitive firms.

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Answer:

The study of decision making in situations where strategic interaction occurs between rivals.

Step-by-step explanation:

Game theory looks at the interactions between participants in a competitive game and calculates the best choice for the player.

Game theory is usually practiced by firms in an oligopoly

An Oligopoly is when there are few large firms operating in an industry. While, a monopoly is when there is only one firm operating in an industry.

Oligopolies are characterised by:

price setting firms

product differentiation

profit maximisation

high barriers to entry or exit of firms

downward sloping demand curve

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