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Question: Antitrust Inquiry Launched into Intel Intel, the world's largest chipmaker, holds 80 percent of the microprocessor market. Advanced Micro Devices complains that Intel stifles competition, but Intel says that the 42.4 percent fall in prices between 2000 and 2007 shows that this industry is fiercely competitive. Source: The Washington Post, June 7, 2008

a. Is Intel a monopoly in the chip market?

b. Evaluate the argument made by Intel that the fall in prices "shows that this industry is fiercely competitive."

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