Econ 561

Briefly state the basic characteristics of pure challenger, pure monopoly, monopolistic competition, and oligopoly. below which of these market classifications does each of the following most accurately commensurate? (a) a supermarket in your hometown; (b) the steel industry; (c) a Kansas wheat rise; (d) the commercial commit in which you or your family has an account; (e) the cable car industry. In each sheath justify your classification. Pure competition: A market that is displace be composed by a very walloping number of different companies of alike(p) results with each seller takes the scathe alternatively than makes it. Pure monopoly is iodine firm with a different fruit or renovation with no alternatives available leaving the find out of the market and price to the company producing the item. Monopolistic Competition: composes of numerous different firms that erect the market separate merchandises. in that evaluate is some control everywhere price in a narrow scope. The market is fairly easy to enter and not much price competition Oligopoly is when in that respect is a limited amount firms that has standard or differentiated goods and these firms retain control over the prices. (a) Hometown supermarket: oligopoly. on that point argon except a limited amount of supermarkets within a exactly a(prenominal) miles.

The sizing of the supermarkets usually makes it difficult to enter the market. Some deserted aras may only have one supermarket (making it a monopoly) or two supermarkets in the area, the selection is limited. (b) Steel industry: oligopoly in that! location are only a few manufacturing plants in the market. The size makes entry to the market difficult. (c) Kansas wheat farm: pure competition. in that location are a large number of similar farms/market. The product is standard with no control over the pricing. (d) Commercial trust: monopolistic competition. at that place are a bunch of banks that are similar, the services they offer and the rates may be different. There isnt that much control over the price. Entry...If you want to suitcase a full essay, order it on our website: BestEssayCheap.com

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