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26 November, 17:41

Under which market structure does the action of one firm have a spillover effect on the decisions of other firms?

-oligopoly

-perfect competition

-monopoly

-monopolistic competition

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  1. 26 November, 17:49
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    When it comes to the impact of one company spilling over to others in the industry, this would occur in a perfect competition economy. This is due to the fact that such a system would have the companies relying on one another and therefore amplifies the mistakes made.
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