Characteristics of Oligopoly
Mutual Interdependence
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The Kinked Demand Curve Model
Kinked demand creates a vertical gap in MR — MC can shift within this gap without changing price
The MR Gap
Game Theory Basics
Key Terms
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The Prisoner's Dilemma
Payoff Matrix
Analysis
Collusion and Cartels
Why Collude?
Why Cartels Break Down
Nash Equilibrium
Dominant Strategy vs. Nash Equilibrium
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Oligopoly Models Summary
AP Exam Tips
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Common Mistakes
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