Figure 11-12 indicates the industry cost and demand conditions for a product produced in an oligopolistic industry. The price of this product is most likely to be

A) greater than P₂.
B) P₂.
C) P₁.
D) in the range between P₁ and P₂.

Oligopolistic Industry

An industry dominated by a small number of large firms, each of which can influence the market price and strategy, leading to competitive yet interdependent market conditions.

Industry Cost

The total expenses incurred by firms operating within a specific industry, including production, labor, and capital costs.

Demand Conditions

pertain to the nature and size of the market demand for products or services in a given industry, influencing competitive strategy and innovation.