Econ 1
Firms sell the same good to different buyers at different prices
Price discrimination
occurs when firms already in the industry own all of a vital natural resource that a new firm would need to enter the market.
Natural barriers to entry
Results from governmental regulations, such as licensing requirements or patents.
Artificial barriers to entry
Exists because the government has allowed a firm an exclusive right to provide a good service.
Legal monopoly
a form of market organization in which there is only one supplier in the industry.
Monopoly
Act formed in 1914
Clayton act
One in which the top four firms account for 50-75 of the industry's total sales.
Loose oligopoly
Sherman Antitrust Act
Economists use the term ______ ____ ______ to refer to any significant obstacle that prevents or hinders a new firm from entering an industry and competing on an equal basis with established firms.
Barrier to entry
Products that are exactly alike regardless of which firm produced them.
Undifferentiated products
Only a few firms and their products can be either highly differentiated or undifferentiated.
oligopoly
Products that are visibly different from one firm to another.
Differentiated products
Firms were skirting the Sherman act by placing one or more directors on the boards of competing firms
Interlocking directorates
An oligopoly composed of exactly two business firms.
Duopoly
This exists when there are many producers selling an identical product.
Perfect competition
One of the big business's favorite ways of limiting competition without actually forming a monopoly was to form a?
Trust
When producers from collusive agreements in countries in which they are legal or when the agreements span across national borders, the cooperating producers may choose to formalize their agreement by contracts or other official statements is called?
Cartel
Distinctive packaging
Occurs when the total of something is greater then the sum of parts.
Synergy
Industry in which the top four firms account for 75% of the market sales.
Tight oligopoly
Corporations were taking over other firms by purchasing their common stock, limiting competition significantly.
Anticompetitive takeovers
The arrangements that people have developed for trading with one another, and competition is the struggle each firm experiences as it seeks to survive.
Market
Imperfect competition
Tying contracts
A group of businesses that share common concerns
Industry