{[ promptMessage ]}

Bookmark it

{[ promptMessage ]}

Managerial Economic's chapter 6

Managerial Economic's chapter 6 - monopoly-where there is...

Info iconThis preview shows page 1. Sign up to view the full content.

View Full Document Right Arrow Icon
Chapter 6 Managerial economic 1) Define competitive markets. Competitive markets by four basic conditions: A large number of potential buyers and sellers Product homogeneity Rapid dissemination of accurate information at low cost Free entry into and exit from the market. 2) Discuss figure 6.1 The demand curve is horizontal. Firm can sell any feasible with the market price. At the given price customer demand due to heavy competition. 3) Identify several barriers to entry 4) Define a monopoly Monopoly is competitive markets are at one end of the spectrum, at the other end is
Background image of page 1
This is the end of the preview. Sign up to access the rest of the document.

Unformatted text preview: monopoly-where there is but a single firm in the industry. 5) Define an oligopoly Oligopolistic markets, only a few firms produce most of the output. 6) Define monopolistic competition Monopolistic competition is a market structure that is a hybrid between competition and monopoly. 7) What is a Nash Equilibrium Nash equilibrium is self –enforcing. Nash equilibrium is not the outcome that maximizes the joint profits of the two companies. 8) Discuss the prisoner’s dilemma 9) Discuss the cartel’s dilemma...
View Full Document

{[ snackBarMessage ]}

Ask a homework question - tutors are online