As the number of firms in an oligopoly grows larger, an oligopolistic market looks more and more like:

a) a monopoly

b) a duopoly

c) a competitive market

d) none of the above

• The correct answer is c; a competitive market.

A competitive market refers to a market that is controlled by the forces of supply and demand, and no single supplier has control over the forces. When the number of firms in an oligopoly market grows large, it becomes more like a competitive market since the sellers' number becomes high, like in a competitive market. A monopoly market relates to a market controlled by a single seller, and a duopoly market is a market held by two sellers. Thus, when the number of suppliers increases in an oligopoly market, the market becomes similar to a competitive market.