list two characteristics of the market structure of electricity operating in Great Britain тАЛ
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The market structure of electricity operating in Great Britain is called oligopoly. It means that there are only few but large firms that compete as producer/seller of electricity in Great Britain.
Two characteristics of oligopoly are:
1. Barriers to entry are high- The oligopolies can maintain their dominance (therefore their business) in the market by making it too costly/difficult for other firms to enter.
2. Ability to set price - Because there are a few of the firms, they can control the price (like the electricity).
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