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Assignment:
The Australian airline industry is largely dominated by Qantas, Virgin Blue and Jetstar with a market share of about 90%. Answer the questions below.
a) What is the market structure in which Qantas, Virgin Blue and Jetstar operate in Australia? Explain your answer using the market structure characteristics for the 3 firms (Qantas, Virgin Blue and Jetstar).
b) Use a figure to explain what you understand by the term "Kinked demand curve" for Qantas, Virgin Blue and Jetstar market structure.
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