Market Structures 1
this is what defines a monopoly
what is a single producer?
A type of law that prevents monopolies from dominating a market.
What are antitrust laws
firms working together and mutually improving buisness
what is a collusion?
A type of licence given by an authority to companies or individuals who make discoveries, to enable them to be the sole seller of this discovery for a specified period of time.
What are patents?
What stops producers from being able to enter a market, and what at the same time gives monopolies the ability to be the sole suppliers of a good or service.
What are barriers to entry?
term for a formal collusion between firms
what is a cartel?
a form of product differentiation
what is....
Attributes (safety ratings)
Customer service (southwest vs american)
Location ( fiji vs dasani vs liquid death)
Brand name (nike vs adidas/ apple vs samsung)
?
How a monopoly's product compares to other products.
What is unique and necessary (inelastic demand)?
A market structure with extremely low barriers to entry, and where products sold are all homogenous.
What is perfect competition?
what cartels allow oligopolies to do
What is agreeing on production levels and prices?
legal restrictions, resource control, and economies of scale, advanced technology, large start-up costs.
What are the barriers to entry?
characteristic of products oligopolies produce
what is homogeneous or differentiated.
A permit given by the government to a single producer to allow them to sell their good or service in a certain area.
What is Public Franchise?
A type of monopoly that exists as a result of one company being naturally able to produce a good or service at a much lower cost than others, and therefore acquires the vast majority of market share.
Natural Monopoly
what are oligopolies.
What market structure is it when the top 4 firms own 40% of the market?