Get the answer of: What is Oligopoly? Meaning of Oligopoly: Oligopoly refers to a market situation or a type of market organisational in which a few firms control the supply of a commodity. The competing firms are few in number but each one is large enough so as to be able to control the total industry output and a moderate. [...]
The administered-pricing doctrine employs either of two major theories to explain how oligopolists set prices. There are known as cost-plus pricing and target-return pricing. Cost-plus pricing: Perhaps the most widely accepted method in oligopoly industries like automobiles or newspapers or steel or even aluminium is cost-plus pricing or full-cost pricing. It is a method used by firms to produce goods [...]
The following article will guide you about how prices of joint commodity are determined. (a) Joint demand: Sometimes two commodities are demanded jointly. In such cases a change in the supply of one will affect the price of the other. If the two commodities are complements—like cameras and films—an increase in the supply of one will lead to a rise [...]