Market structures Flashcards
(7 cards)
market structures refer to the __ and __ of firms
influenced by product ____, ____ intervention, ___ process
size, number
differentiation, government, production
what is perfect competition?
large number of sellers who have little influence on the market
unrestricted access
rare in real world
each seller sells homogenous/identical products
what is monopolistic competition?
relatively large number of small scale firms that have a small influence over the market
entry/exit is relatively easy
slightly differentiated products
what is an oligopoly?
market where a few large firms dominate the market
largely differentiated market
large restrictions on entry
interdependent on actions of other firms
what is a duopoly?
two large structures of a highly substitutable product
what is a monopoly?
one seller of a product or service
no close substitutes
one firm dictates price of goods+products
markets have been deregulated to ___ competition
competition ____ prices for consumers, ____ quality and ___ innovation
increase,
lowers
improves
increases
