[tomrod]

Oligopolies are also how we get business driving fundamental R&D. The tradeoff isn't as clear cut as Econ 201 makes it, because in additional to the above point you also have a difference between oligopolies and monopolistic competition.

[goliatone]

I would be curious to read some literature supporting this idea. Oligopolies driving R&D sounds counterintuitive to me.

[tomrod]

Sure! There is a lot of lit, here is the basic idea. On mobile now, hit me up via github (same name) for academic refs later?

http://www2.harpercollege.edu/mhealy/eco211/lectures/monopol...