Two kids in economics class were discussing. First kid said “A market with two firms is known as a perfect competition”. The other kid objected and said “No, such a market is known as a duopoly.” Third kid listening to them interrupted and said” no, you bother are mistaken. It is called oligopoly.” Who would you agree with?

First kid Second kid Third kid None of them

Second kid

The second kid is right, as a market with two firms is called a duopoly. Duo means two.