We understand the firm wants to maximize profits – economic profits – when setting its price and determining its quantity. Unfortunately for the firm it often does not have much control over price. The amount of control will depend on how much competition it has. A study of industry —–. We will look at five industry types: Perfect Competition, Monopolistic Competition, Oligopoly, Monopoly and Natural Monopoly.
Before Oct 22:
___ Complete Test 1 Due at the beginning of the next class
___ Watch Video below
___ Bring Market Structure Characteristics sheet to class – Fill in as much as you can while watching the video.
____ Reminder: No class Oct 29. Min Wage Paper will be due 11/5
Ep 25: Market Structures
As you watch the videos, fill in the following chart (I emailed you a copy you can print out):
|INDUSTRY TYPE||Perfect Competition||Monopolistic Competition||Oligopoly||Monopoly||Natural Monopoly|
|Number of Firms|
|Barriers to Entry/Exit|
|Long Run Profits|