Asked by Nicholas Alvarez on Jun 06, 2024
Verified
Which pair of market structures provides firms with the greatest ability to finance R&D out of retained earnings?
A) Oligopolists and pure monopolists.
B) Pure competitors and pure monopolists.
C) Pure competitors and monopolistic competitors.
D) Monopolistic competitors and pure monopolists.
Oligopolists
Firms in a market structure dominated by a small number of large companies, having significant control over their industry's prices and policies.
Pure Monopolists
Firms that are the sole providers of a product or service in a market, facing no competition.
Retained Earnings
The portion of a company's profits that is held or retained and not paid out as dividends to shareholders, often used for investing in business growth.
- Ascertain the impact of market configurations on corporate propensity and capacity to invest in Research and Development.
Verified Answer
Learning Objectives
- Ascertain the impact of market configurations on corporate propensity and capacity to invest in Research and Development.
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