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Unformatted text preview: Perf. Comp. Monop. Comp. } both have free entry tendency toward zero econ. Profit Evaluation of monop. Comp. Zero econ. Profit P>MC, but not by much ATC not nec. Min. but close to cost-min. Variety Oligopoly o Few sellers o Strategy +interactions of firms o Often, oligopoly want to collude (cooperate) cartel collusion among oligop. Firms o If cartel succeeds, raise P, P Shared monopoly o Goal: charge monopoly P + divide up monopoly profits o Often, cartel members cheat on agreement...
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