{[ promptMessage ]}

Bookmark it

{[ promptMessage ]}

Maximizing Profits in Market Structures Paper

Maximizing Profits in Market Structures Paper - Loretta...

Info iconThis preview shows pages 1–3. Sign up to view the full content.

View Full Document Right Arrow Icon
Loretta Campbell Maximizing Profits in Market Structures Paper Loretta Campbell Principles of Economics Eugene Kaufman Loretta Campbell 03/06/2011
Background image of page 1

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full Document Right Arrow Icon
Loretta Campbell A competitive market which is also referred to as a perfectly competitive market is made up of two features. The first is that there are many buyers and many sellers in the market and the goods offered by the various sellers are largely the same, and firms can freely enter and exit the market. Another market structure is a monopoly which is when a firm is the sole seller of its product and if its product does not have close substitutes. A monopoly remains the only seller in its market because a key resource is owned by a single firm; the government gives a single firm the exclusive right to produce some good or service, and the costs of production make a single producer more efficient than a large number of producers. An oligopoly is when a few large suppliers dominate the market resulting in a high degree of market concentration.
Background image of page 2
Image of page 3
This is the end of the preview. Sign up to access the rest of the document.

{[ snackBarMessage ]}