A major weakness of the kinked demand curve model of oligopoly is that – McqOptions

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1.	A major weakness of the kinked demand curve model of oligopoly is that ?
A.	it assumes that firms believe that their rivals will not respond to any price change they initiate
B.	it fails to explain how a firm arrived at its price and output decision initially
C.	The model cannot be tested empirically.
D.	Real-world pricing strategies are more simple than those assumed in this model
Answer» C. The model cannot be tested empirically.

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