With respect to the kinked demand curve, there are relatively equal shares of the market

Marketing Jan 12, 2021

With respect to the kinked demand curve, there are relatively equal shares of the market.

True

False

Expert Solution

Here, it is given that about the kinked demand curve the market relatively shares equal share among the competing firms. This statement depicts one of the characteristics of an oligopoly market where the elasticity at the point of a kink becomes equal for both the high price charging firm and the low price charging firm. Therefore, the aforementioned statement is right (True).

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