With regard to social welfare, oligopolists forming a cooperative alliance is Group of answer choices good because it leads to less disagreement and lower prices and more variety. good because forming a cooperative alliance closely resembles a perfectly competitive outcome. bad because prices will then be too high and output will be too low. bad because output will then be too high and prices will be too high. Flag question: Question 11

Why is it easier for new entrants to get involved in radical innovations when compared to incumbent firms? a. unlike incumbent firms, new entrants do not have to face the high entry barriers, initially. b. new entrants are embedded in an innovation ecosystem, while incumbent firms are not. c. unlike incumbent firms, new entrants do not have formal organizational structures and processes. d. incumbent firms do not have the advantages of network effects that new entrants have.