Many markets in the U.S. are characterized by interdependence – firms know that their competitors will respond to whatever actions they take. Discuss the nature and consequences of this interdependence. Your paper should include the following elements:

What are the principal features of Oligopoly? How does it come about?
Identify three markets in the U. S. economy that are oligopolistic in nature. For each, explain the nature of the interdependence observed in those markets and provide an example of the strategic behavior involved.
What role does the government play in regulating oligopolies?
Discuss two examples of such regulation in the U.S. economy.
Key points to be addressed in the paper:

Characteristics of Oligopoly
Mergers – including recent examples
Cartels
Industry concentration
Anti-trust and regulation including examples
Simple Game Theory Application (optional)
Find and read two recent academic articles that address the topic.