{[ promptMessage ]}

Bookmark it

{[ promptMessage ]}

Discussion 1.2 - Discussion Question 1.1 Jimmy...

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

View Full Document Right Arrow Icon
Discussion Question 1.1 – Jimmy Morgan- Microeconomics (ECO-112) Question : Give an example of a monopoly and an example of perfect competition. Explain how each of your examples matches the textbook definition of that market structure. The example I chose for perfect competition is the computer. The computer is a product that is widely sought by millions of consumers all over the world, and produced by hundreds and hundreds of manufactures which means there are many substitutes. A consumer can shop on the internet as well as a department store to find the best product for the amount of money they are looking to spend. Our book tells us that a perfect competitive market is one in which “the good offered for sale as all exactly the same and the buyers and sellers are so numerous that no single buyer or seller has any influence over the market price”. (N. Gregory Mankiw, pg. 66, 5 th Edition). Firms that manufacture computers have identical cost curves thus no single producer by changing its
Image of page 1
This is the end of the preview. Sign up to access the rest of the document.

{[ snackBarMessage ]}

What students are saying

  • Left Quote Icon

    As a current student on this bumpy collegiate pathway, I stumbled upon Course Hero, where I can find study resources for nearly all my courses, get online help from tutors 24/7, and even share my old projects, papers, and lecture notes with other students.

    Student Picture

    Kiran Temple University Fox School of Business ‘17, Course Hero Intern

  • Left Quote Icon

    I cannot even describe how much Course Hero helped me this summer. It’s truly become something I can always rely on and help me. In the end, I was not only able to survive summer classes, but I was able to thrive thanks to Course Hero.

    Student Picture

    Dana University of Pennsylvania ‘17, Course Hero Intern

  • Left Quote Icon

    The ability to access any university’s resources through Course Hero proved invaluable in my case. I was behind on Tulane coursework and actually used UCLA’s materials to help me move forward and get everything together on time.

    Student Picture

    Jill Tulane University ‘16, Course Hero Intern