CFA® Level I question of the day
9 October 2026 · Economics
The structure in which each firm must anticipate its rivals' reactions is:
Show the answer and explanation
Answer: A. oligopoly
With only a few sellers, one firm's pricing decision visibly changes the others' best response.
- B. perfect competition — Each firm is too small to affect the price, so there is nothing for a rival to react to.
- C. monopolistic competition — Many small differentiated sellers, each of whom can largely ignore the response of any one rival.
Get a new question every day with spaced review, so the ones you miss come back before you forget them.
Take the free diagnostic →More on Economics
Notes, formulas and a worked question for every learning outcome are on the Economics page, with the whole CFA Level I syllabus alongside.