INTERDEPENDENCE: The guiding behavioral principle of oligopoly firms in which the decision by one firm is both affected by the decisions of other firms and in turn affects the decisions of other firms. Such interdependence is characteristic of oligopoly firms that practice competition among the few. Interdependence is indicated by the kinked-demand curve, game theory, collusion, and mergers. See also | oligopoly | kinked-demand curve | game theory | collusion | merger | competition among the few |
