Chapter 13
A monopolistically competitive market is characterized by:
· many buyers and sellers,
· differentiated products, and
· easy entry and exit.
The monopolistically competitive market is similar to perfect competition in that there are many buyers and sellers who can enter or leave the market easily in response to economic profits or losses. A monopolistically competitive firm, though, is similar to a monopoly in that it produces a product that is different from that produced by all other firms in the market. The restaurant market in New York City provides a good example of a monopolistically competitive market. Each restaurant has its own recipes, decor, ambiance, etc. but also must compete with many other similar restaurants.
Because each firm produces a differentiated product, it won't lose all of its customers if it raises its prices. Thus, a monopolistically competitive firm faces a downward sloping demand curve for its product. As noted in Chapters 8 and 10, whenever a firm faces a downward sloping demand curve, its marginal revenue curve lies below its demand curve. The diagram below illustrates the relationship that exists between a monopolistically competitive firm's demand and marginal revenue curves.
While the diagram above seems similar to the demand and marginal revenue curves facing a monopolist, there is a critical difference. In a monopolistically competitive market, the number of firms changes as firms enter or leave the industry. When new firms enter the market, the customers are spread over a larger number of firms and the demand for each firm's product declines. An increase in the number of firms also tends to result in an increase in the elasticity of demand for each firm's products (since demand is more elastic when more substitutes are available). The diagram below illustrates the shift in a typical firm's demand curve that occurs when additional firms enter a monopolistically competitive market.
Short-run and long-run equilibrium in monopolistically competitive markets
Let's examine the determination of short-run equilibrium in a monopolistically competitive output market.
The diagram below illustrates a possible short-run equilibrium for a typical firm in a monopolistically competitive market. As with any profit-maximizing firm, a monopolistically competitive firm maximizes its profits by producing at a level of output at which MR = MC. In the diagram below, this occurs at an output level of Qo. The price is determined by the amount that customers are willing to pay to buy Qo units of output. In the example below, the demand curve indicates that a price of Po will be charged when Qo units of output are sold.
In a monopoly industry, economics profits could persist indefinitely due to the existence of barriers to entry. In a monopolistically competitive industry, however, the existence of economic profits results in the entry of additional firms into the industry. As additional firms enter, the demand for each ...
This document discusses market structures and perfect competition. It begins by explaining that economists classify markets based on factors like the number of buyers and sellers, product differentiation, and barriers to entry. It then describes the five conditions of perfect competition: a large number of buyers and sellers, identical products, independent decision making, informed participants, and easy entry and exit. Under perfect competition, each firm is price taker and maximizes profits by producing where marginal cost equals marginal revenue. While rare, perfect competition is important as the theoretical standard against which other market structures are evaluated.
Monopolistic competition describes a market with many small businesses that sell differentiated but substitutable products. While firms have some control over prices due to product differences, barriers to entry are low and many competitors result in zero long-run profits. Each firm faces a downward-sloping demand curve and engages in non-price competition like advertising. In the short-run, firms can earn profits or losses, but in the long-run free entry and exit forces prices down to match average costs.
This document provides summaries of presentations on business economics topics by various students:
1. Priya Khandelwal presented on the characteristics of oligopoly markets and kink demand curves.
2. Priska Haria discussed short and long run equilibrium in monopolistic competition.
3. Mohit Joshi covered short and long run equilibrium in monopoly markets.
4. Divit Dholabhai presented on different market structures like perfect competition, monopoly, oligopoly, and monopolistic competition.
5. Ayush Chaudhary summarized the concept of break even point in economics.
Monopolistic competition and oligopoly are two market structures between perfect competition and monopoly. Monopolistic competition is characterized by many firms with differentiated products. Firms have some market power but no barriers to entry or exit. Oligopoly is characterized by a few dominant firms where the behavior of one firm depends on its competitors. Game theory is used to analyze strategic interactions among oligopolistic firms.
Monopolistic competition is a market structure with many small businesses that produce differentiated products. Each business has some control over price due to product differentiation but faces competition from substitutable products. Key features include differentiated but substitutable products, many sellers and buyers, free entry and exit, and profit maximization through product differentiation and non-price competition like advertising. In long run equilibrium, firms earn only normal profits as entry by new firms eliminates excess profits. Output is lower and prices higher under monopolistic competition compared to perfect competition.
This document defines and describes perfect competition in economic theory. It has the following key points:
1. Perfect competition is characterized by many small firms and buyers, homogeneous products, free entry and exit in the industry, no government intervention, perfect mobility of resources, complete information, and no transportation costs.
2. In the short run, individual firms are price takers and will produce where marginal cost equals marginal revenue. In the long run, firms will adjust entry and exit from the industry until all firms earn only normal profits.
3. The industry equilibrium occurs where quantity supplied equals quantity demanded. In the long run, this results in no incentives for further entry or exit from the industry.
10. market structure and pricing practices 130119101444-phpapp01malikjameel1986
The document discusses different market structures including perfect competition, monopoly, monopolistic competition, oligopoly, and cartels. It provides details on key features, pricing behaviors, and equilibrium conditions for each market structure. Perfect competition is defined by many buyers and sellers, homogenous products, and price being determined by supply and demand. A monopoly grants a single seller complete market control to set price. Monopolistic competition features product differentiation while allowing long run equilibrium with no profits. Oligopoly relies on interdependent actions among a small number of large firms. Cartels explicitly fix prices through collusive agreements.
This document discusses market structures and perfect competition. It begins by explaining that economists classify markets based on factors like the number of buyers and sellers, product differentiation, and barriers to entry. It then describes the five conditions of perfect competition: a large number of buyers and sellers, identical products, independent decision making, informed participants, and easy entry and exit. Under perfect competition, each firm is price taker and maximizes profits by producing where marginal cost equals marginal revenue. While rare, perfect competition is important as the theoretical standard against which other market structures are evaluated.
Monopolistic competition describes a market with many small businesses that sell differentiated but substitutable products. While firms have some control over prices due to product differences, barriers to entry are low and many competitors result in zero long-run profits. Each firm faces a downward-sloping demand curve and engages in non-price competition like advertising. In the short-run, firms can earn profits or losses, but in the long-run free entry and exit forces prices down to match average costs.
This document provides summaries of presentations on business economics topics by various students:
1. Priya Khandelwal presented on the characteristics of oligopoly markets and kink demand curves.
2. Priska Haria discussed short and long run equilibrium in monopolistic competition.
3. Mohit Joshi covered short and long run equilibrium in monopoly markets.
4. Divit Dholabhai presented on different market structures like perfect competition, monopoly, oligopoly, and monopolistic competition.
5. Ayush Chaudhary summarized the concept of break even point in economics.
Monopolistic competition and oligopoly are two market structures between perfect competition and monopoly. Monopolistic competition is characterized by many firms with differentiated products. Firms have some market power but no barriers to entry or exit. Oligopoly is characterized by a few dominant firms where the behavior of one firm depends on its competitors. Game theory is used to analyze strategic interactions among oligopolistic firms.
Monopolistic competition is a market structure with many small businesses that produce differentiated products. Each business has some control over price due to product differentiation but faces competition from substitutable products. Key features include differentiated but substitutable products, many sellers and buyers, free entry and exit, and profit maximization through product differentiation and non-price competition like advertising. In long run equilibrium, firms earn only normal profits as entry by new firms eliminates excess profits. Output is lower and prices higher under monopolistic competition compared to perfect competition.
This document defines and describes perfect competition in economic theory. It has the following key points:
1. Perfect competition is characterized by many small firms and buyers, homogeneous products, free entry and exit in the industry, no government intervention, perfect mobility of resources, complete information, and no transportation costs.
2. In the short run, individual firms are price takers and will produce where marginal cost equals marginal revenue. In the long run, firms will adjust entry and exit from the industry until all firms earn only normal profits.
3. The industry equilibrium occurs where quantity supplied equals quantity demanded. In the long run, this results in no incentives for further entry or exit from the industry.
10. market structure and pricing practices 130119101444-phpapp01malikjameel1986
The document discusses different market structures including perfect competition, monopoly, monopolistic competition, oligopoly, and cartels. It provides details on key features, pricing behaviors, and equilibrium conditions for each market structure. Perfect competition is defined by many buyers and sellers, homogenous products, and price being determined by supply and demand. A monopoly grants a single seller complete market control to set price. Monopolistic competition features product differentiation while allowing long run equilibrium with no profits. Oligopoly relies on interdependent actions among a small number of large firms. Cartels explicitly fix prices through collusive agreements.
The document discusses market structures, specifically perfect competition. It defines key characteristics of perfect competition including a large number of small firms, homogeneous products, free entry and exit, and firms being price takers. Under perfect competition, each firm's demand curve is perfectly elastic and marginal revenue equals price. Firms produce where price equals marginal cost to maximize profits. In the long run, normal profits are achieved as entry and exit cause supply to equal demand. Perfect competition leads to allocative and productive efficiency.
This document provides information about monopoly market structures. It defines a monopoly as a market with a single seller. Two key assumptions for a monopoly are that a single firm controls the entire industry output, and there are significant barriers to entry. The monopolist faces a downward sloping demand curve and is a price maker. In the long run, the monopolist can extract supernormal profits if barriers to entry remain. The document also discusses natural monopolies and compares monopolies to perfect competition.
The document discusses different market structures including perfect competition, monopoly, oligopoly, and monopolistic competition. It describes the key characteristics of each structure such as the number of firms, product differentiation, barriers to entry, and firm behavior. Perfect competition has many small firms, identical products, and firms are price takers. A monopoly has a single dominant firm with barriers to entry. Oligopoly is dominated by a small number of large firms where behavior is interdependent. Monopolistic competition has many differentiated products and easy entry/exit.
The document discusses different market structures including perfect competition, monopoly, monopolistic competition, and oligopoly. It describes the key characteristics of each structure such as the number of firms, level of product differentiation, barriers to entry/exit, and firm behavior. Perfect competition has many small firms, homogeneous products, free entry/exit, and firms are price takers. Monopoly has a single firm with barriers to entry and some control over price. Monopolistic competition and oligopoly involve multiple firms with varying degrees of product differentiation and imperfect competition.
The document discusses different market structures including perfect competition, monopoly, monopolistic competition, and oligopoly. It describes the key characteristics of each structure such as the number of firms, level of product differentiation, barriers to entry/exit, and firm behavior. Perfect competition has many small firms, homogeneous products, free entry/exit, and firms are price takers. Monopoly has a single firm with barriers to entry and some control over price. Monopolistic competition and oligopoly involve multiple firms with varying degrees of product differentiation and imperfect competition.
The document discusses different market structures including perfect competition, monopoly, monopolistic competition, and oligopoly. It describes the key characteristics of each structure such as the number of firms, level of product differentiation, barriers to entry/exit, and firm behavior. Perfect competition has many small firms, homogeneous products, free entry/exit, and firms are price takers. Monopoly has a single firm with barriers to entry and some control over price. Monopolistic competition and oligopoly involve multiple firms with varying degrees of product differentiation and imperfect competition.
This document summarizes key characteristics of monopolistic competition. In 3 sentences: Firms in monopolistic competition have differentiated but substitutable products, they set price between the monopoly and competitive levels where marginal revenue equals marginal cost to earn normal profits in the long run, and while this leads to higher prices than perfect competition it provides benefits to consumers like variety and innovation.
The document discusses different market structures including perfect competition, monopoly, monopolistic competition, and oligopoly. It provides details on key features, pricing behaviors, and profit determination for each market structure. Perfect competition is characterized by many small firms, homogeneous products, and price taking behavior. A monopoly is dominated by a single seller who is a price maker. Monopolistic competition involves differentiated products and monopolistic behaviors in the short run. Oligopoly involves strategic interactions among a small number of large firms through behaviors like price leadership, kinked demand curves, and cartel agreements.
The document discusses different market structures including perfect competition, monopoly, monopolistic competition, and oligopoly. It provides definitions and key assumptions of each market structure. For perfect competition, it describes characteristics like numerous buyers and sellers, homogeneous products, free entry and exit. It also discusses equilibrium price and output determination under perfect competition. For monopoly, it discusses sources of market imperfections and how revenues are determined. It provides a comparison of monopoly and perfect competition.
This document provides an overview of collusive oligopoly and price leadership models. It defines collusive oligopoly as when oligopolistic firms make joint pricing and output decisions through agreement. Price leadership is described as an informal practice where one firm sets prices that other firms closely follow. Two types of price leadership are discussed: by a low-cost firm, and by a dominant firm that has large market share. The document also explains barometric price leadership, where the most experienced firm assesses market conditions and sets prices others willingly follow.
This document provides an overview of oligopoly market structure. Key points include:
- Oligopoly is characterized by a small number of large, dominant sellers that are interdependent in their decision making.
- Firms monitor each other's actions closely and reactions can trigger countermoves, like aggressive advertising campaigns.
- Entry into the market is difficult due to barriers like economies of scale, control of inputs, and high capital requirements.
- There is no single pattern of pricing behavior - firms may cooperate tacitly or engage in price wars, leading to price rigidity.
- The demand curve is indeterminate due to uncertainty around competitors' reactions to price changes.
Tnx group 15
For downloading this contact- bikashkumar.bk100@gmail.com
Prepared by Students of University of Rajshahi
MD: AL AMIN
SAIFUL ISLAM
RUKSANA PARVIN RUPA
SHAMIM MIA
LIMA AKTER
This document provides an overview of key concepts in market structure, including monopolistic competition and oligopoly. It discusses the characteristics of monopolistic competition, including differentiated products, free entry and exit, and firms as price takers. It also covers the short-run and long-run equilibrium of firms under monopolistic competition. For oligopoly, it defines the structure and discusses interdependent behavior among a small number of large firms, barriers to entry, and the use of game theory to analyze strategic interactions.
This document provides an overview of market structures including monopolistic competition and oligopoly. It discusses key characteristics of each structure such as product differentiation, barriers to entry, and interdependence between firms. The document also covers concepts like profit maximization, loss minimization, long-run equilibrium, price rigidity, game theory, and Nash equilibrium which are important for understanding firm behavior under different market conditions.
This document discusses the key features and assumptions of perfect competition. It defines perfect competition as a market structure with a large number of small firms, homogeneous products, free entry and exit, and perfect information. Under these conditions, each firm is a price taker and demands its output at the market price. The document then examines the conditions for a firm and industry to be in both short-run and long-run equilibrium under perfect competition. In short-run equilibrium, a firm produces where marginal cost equals marginal revenue. In long-run equilibrium, all firms earn only normal profits.
1. The document discusses various theories of oligopoly market structure, including game theory, the kinked demand curve theory, the Bertrand model, cartel theory, and Cournot's model.
2. Game theory and the kinked demand curve theory explain why firms in an oligopoly may choose to advertise or keep prices rigid. The Bertrand model analyzes price competition between firms producing homogeneous goods.
3. Cartel theory discusses how firms may coordinate production and prices to behave like a monopolist. However, cartels are unstable due to incentives for members to cheat.
4. Cournot's model analyzes duopoly competition through strategic output decisions. It remains a standard tool but
The document discusses different market structures and pricing under each structure. It covers the four main market structures: perfect competition, monopoly, monopolistic competition, and oligopoly. For each structure, it describes characteristics like number of firms, entry barriers, product differentiation. It then discusses pricing determination. Under perfect competition, firms are price takers and price equals marginal cost. Under monopoly, the single firm influences price by adjusting output to where marginal revenue equals marginal cost. Under monopolistic competition, in the short run firms maximize profits where marginal revenue equals marginal cost, and in the long run price equals average cost.
For more course tutorials visit
www.newtonhelp.com
Chapter 9—Applications of Cost Theory
MULTIPLE CHOICE
1. Evidence from empirical studies of short-run cost-output relationships lends support to the:
This document provides 33 questions and answers related to managerial economics concepts. Key topics covered include:
1. Definitions of production, short run and long run production, production functions and their assumptions.
2. The law of variable proportions, isoquants and their types, economies of scale, costs and cost of production.
3. Sunk costs, short run and long run cost functions, and why long run average cost curves are L-shaped.
4. Market structures including perfect competition, monopoly, oligopoly, monopolistic competition, and their characteristics.
5. Pricing under different market structures, monopoly power, bilateral monopoly, normal and super-normal profits, and
1. The ALIVE status of each SEX. (SEX needs to be integrated into th.docxketurahhazelhurst
1. The ALIVE status of each SEX. (SEX needs to be integrated into the only Male, Female, ND, and Other) (bar comparison chart, pie comparison chart)
2. How many Male, Female, ND, and Other are there in each ALIGN. (Bar comparison chart)
3. How many red-haired heroes do Marvel and DC have?
.
1. Some potentially pathogenic bacteria and fungi, including strains.docxketurahhazelhurst
1. Some potentially pathogenic bacteria and fungi, including strains of Enterococcus, Staphylococcus, Candida, and Aspergillus, can survive for one to three months on a variety of materials found in hospitals, including scrub suits, lab coats, plastic aprons, and computer keyboards. What can hospital personnel do to reduce the spread of these pathogens?
2. Human immunodeficiency virus (HIV) preferentially destroys CD4+ cells. Specifically, what effect does this have on antibody and cell-mediated immunity?
**Provide APA references for each
.
More Related Content
Similar to Chapter 13A monopolistically competitive market is characterized.docx
The document discusses market structures, specifically perfect competition. It defines key characteristics of perfect competition including a large number of small firms, homogeneous products, free entry and exit, and firms being price takers. Under perfect competition, each firm's demand curve is perfectly elastic and marginal revenue equals price. Firms produce where price equals marginal cost to maximize profits. In the long run, normal profits are achieved as entry and exit cause supply to equal demand. Perfect competition leads to allocative and productive efficiency.
This document provides information about monopoly market structures. It defines a monopoly as a market with a single seller. Two key assumptions for a monopoly are that a single firm controls the entire industry output, and there are significant barriers to entry. The monopolist faces a downward sloping demand curve and is a price maker. In the long run, the monopolist can extract supernormal profits if barriers to entry remain. The document also discusses natural monopolies and compares monopolies to perfect competition.
The document discusses different market structures including perfect competition, monopoly, oligopoly, and monopolistic competition. It describes the key characteristics of each structure such as the number of firms, product differentiation, barriers to entry, and firm behavior. Perfect competition has many small firms, identical products, and firms are price takers. A monopoly has a single dominant firm with barriers to entry. Oligopoly is dominated by a small number of large firms where behavior is interdependent. Monopolistic competition has many differentiated products and easy entry/exit.
The document discusses different market structures including perfect competition, monopoly, monopolistic competition, and oligopoly. It describes the key characteristics of each structure such as the number of firms, level of product differentiation, barriers to entry/exit, and firm behavior. Perfect competition has many small firms, homogeneous products, free entry/exit, and firms are price takers. Monopoly has a single firm with barriers to entry and some control over price. Monopolistic competition and oligopoly involve multiple firms with varying degrees of product differentiation and imperfect competition.
The document discusses different market structures including perfect competition, monopoly, monopolistic competition, and oligopoly. It describes the key characteristics of each structure such as the number of firms, level of product differentiation, barriers to entry/exit, and firm behavior. Perfect competition has many small firms, homogeneous products, free entry/exit, and firms are price takers. Monopoly has a single firm with barriers to entry and some control over price. Monopolistic competition and oligopoly involve multiple firms with varying degrees of product differentiation and imperfect competition.
The document discusses different market structures including perfect competition, monopoly, monopolistic competition, and oligopoly. It describes the key characteristics of each structure such as the number of firms, level of product differentiation, barriers to entry/exit, and firm behavior. Perfect competition has many small firms, homogeneous products, free entry/exit, and firms are price takers. Monopoly has a single firm with barriers to entry and some control over price. Monopolistic competition and oligopoly involve multiple firms with varying degrees of product differentiation and imperfect competition.
This document summarizes key characteristics of monopolistic competition. In 3 sentences: Firms in monopolistic competition have differentiated but substitutable products, they set price between the monopoly and competitive levels where marginal revenue equals marginal cost to earn normal profits in the long run, and while this leads to higher prices than perfect competition it provides benefits to consumers like variety and innovation.
The document discusses different market structures including perfect competition, monopoly, monopolistic competition, and oligopoly. It provides details on key features, pricing behaviors, and profit determination for each market structure. Perfect competition is characterized by many small firms, homogeneous products, and price taking behavior. A monopoly is dominated by a single seller who is a price maker. Monopolistic competition involves differentiated products and monopolistic behaviors in the short run. Oligopoly involves strategic interactions among a small number of large firms through behaviors like price leadership, kinked demand curves, and cartel agreements.
The document discusses different market structures including perfect competition, monopoly, monopolistic competition, and oligopoly. It provides definitions and key assumptions of each market structure. For perfect competition, it describes characteristics like numerous buyers and sellers, homogeneous products, free entry and exit. It also discusses equilibrium price and output determination under perfect competition. For monopoly, it discusses sources of market imperfections and how revenues are determined. It provides a comparison of monopoly and perfect competition.
This document provides an overview of collusive oligopoly and price leadership models. It defines collusive oligopoly as when oligopolistic firms make joint pricing and output decisions through agreement. Price leadership is described as an informal practice where one firm sets prices that other firms closely follow. Two types of price leadership are discussed: by a low-cost firm, and by a dominant firm that has large market share. The document also explains barometric price leadership, where the most experienced firm assesses market conditions and sets prices others willingly follow.
This document provides an overview of oligopoly market structure. Key points include:
- Oligopoly is characterized by a small number of large, dominant sellers that are interdependent in their decision making.
- Firms monitor each other's actions closely and reactions can trigger countermoves, like aggressive advertising campaigns.
- Entry into the market is difficult due to barriers like economies of scale, control of inputs, and high capital requirements.
- There is no single pattern of pricing behavior - firms may cooperate tacitly or engage in price wars, leading to price rigidity.
- The demand curve is indeterminate due to uncertainty around competitors' reactions to price changes.
Tnx group 15
For downloading this contact- bikashkumar.bk100@gmail.com
Prepared by Students of University of Rajshahi
MD: AL AMIN
SAIFUL ISLAM
RUKSANA PARVIN RUPA
SHAMIM MIA
LIMA AKTER
This document provides an overview of key concepts in market structure, including monopolistic competition and oligopoly. It discusses the characteristics of monopolistic competition, including differentiated products, free entry and exit, and firms as price takers. It also covers the short-run and long-run equilibrium of firms under monopolistic competition. For oligopoly, it defines the structure and discusses interdependent behavior among a small number of large firms, barriers to entry, and the use of game theory to analyze strategic interactions.
This document provides an overview of market structures including monopolistic competition and oligopoly. It discusses key characteristics of each structure such as product differentiation, barriers to entry, and interdependence between firms. The document also covers concepts like profit maximization, loss minimization, long-run equilibrium, price rigidity, game theory, and Nash equilibrium which are important for understanding firm behavior under different market conditions.
This document discusses the key features and assumptions of perfect competition. It defines perfect competition as a market structure with a large number of small firms, homogeneous products, free entry and exit, and perfect information. Under these conditions, each firm is a price taker and demands its output at the market price. The document then examines the conditions for a firm and industry to be in both short-run and long-run equilibrium under perfect competition. In short-run equilibrium, a firm produces where marginal cost equals marginal revenue. In long-run equilibrium, all firms earn only normal profits.
1. The document discusses various theories of oligopoly market structure, including game theory, the kinked demand curve theory, the Bertrand model, cartel theory, and Cournot's model.
2. Game theory and the kinked demand curve theory explain why firms in an oligopoly may choose to advertise or keep prices rigid. The Bertrand model analyzes price competition between firms producing homogeneous goods.
3. Cartel theory discusses how firms may coordinate production and prices to behave like a monopolist. However, cartels are unstable due to incentives for members to cheat.
4. Cournot's model analyzes duopoly competition through strategic output decisions. It remains a standard tool but
The document discusses different market structures and pricing under each structure. It covers the four main market structures: perfect competition, monopoly, monopolistic competition, and oligopoly. For each structure, it describes characteristics like number of firms, entry barriers, product differentiation. It then discusses pricing determination. Under perfect competition, firms are price takers and price equals marginal cost. Under monopoly, the single firm influences price by adjusting output to where marginal revenue equals marginal cost. Under monopolistic competition, in the short run firms maximize profits where marginal revenue equals marginal cost, and in the long run price equals average cost.
For more course tutorials visit
www.newtonhelp.com
Chapter 9—Applications of Cost Theory
MULTIPLE CHOICE
1. Evidence from empirical studies of short-run cost-output relationships lends support to the:
This document provides 33 questions and answers related to managerial economics concepts. Key topics covered include:
1. Definitions of production, short run and long run production, production functions and their assumptions.
2. The law of variable proportions, isoquants and their types, economies of scale, costs and cost of production.
3. Sunk costs, short run and long run cost functions, and why long run average cost curves are L-shaped.
4. Market structures including perfect competition, monopoly, oligopoly, monopolistic competition, and their characteristics.
5. Pricing under different market structures, monopoly power, bilateral monopoly, normal and super-normal profits, and
Similar to Chapter 13A monopolistically competitive market is characterized.docx (20)
1. The ALIVE status of each SEX. (SEX needs to be integrated into th.docxketurahhazelhurst
1. The ALIVE status of each SEX. (SEX needs to be integrated into the only Male, Female, ND, and Other) (bar comparison chart, pie comparison chart)
2. How many Male, Female, ND, and Other are there in each ALIGN. (Bar comparison chart)
3. How many red-haired heroes do Marvel and DC have?
.
1. Some potentially pathogenic bacteria and fungi, including strains.docxketurahhazelhurst
1. Some potentially pathogenic bacteria and fungi, including strains of Enterococcus, Staphylococcus, Candida, and Aspergillus, can survive for one to three months on a variety of materials found in hospitals, including scrub suits, lab coats, plastic aprons, and computer keyboards. What can hospital personnel do to reduce the spread of these pathogens?
2. Human immunodeficiency virus (HIV) preferentially destroys CD4+ cells. Specifically, what effect does this have on antibody and cell-mediated immunity?
**Provide APA references for each
.
1. Taking turns to listen to other students is not always easy f.docxketurahhazelhurst
1. Taking turns to listen to other students is not always easy for young children. What does the research show about promoting good listeners in the classroom setting?
2. How would you help the shyest student to become a confident speaker? How would you help the overly confident speaker to have self-control? Why are these skills important to instill in children at this age? How can becoming a confident speaker encourage stronger advocacy skills for themselves? Likewise, how does maintaining self-control encourage better listening?
.
1. The main characters names in The Shape of Things are Adam and E.docxketurahhazelhurst
1. The main characters names in "The Shape of Things" are Adam and Evelyn, suggesting the play is a retelling of the original creation myth. Compare the original “Adam and Eve” and characters in the Judea-Christian creation account to Adam and Evelyn. How is The Shape of Things similar or different from the traditional Judea-Xian account? (Keep in mind the main difference being art and artistic versus theistic creation).
2. The “garden” is the museum, and roped off sculpture with the fig leaf is, like the tree of good and evil, what you’re not supposed to touch. Why does the author present the museum as a creation space? How is the sculpture like the tree of good and evil? What happens when they cross the line and touch (or photograph) it?
3. Compare Evelyn and Pygmalion as creators. How does their gender effect their position in history and creation? How do both their creations critique the culture in which they exist? Describe the "changes" to society that Evelyn and Pygmalion aspire to in their art.
4. How much are the creators (Evelyn and Pygmalion) in control of creation and their art work? Where does their control break down? What is the difference between creator and creature; or is the creature reducible to its creator?
5. When does Adam assert his own mind, (if at all) or veer towards independence by not relying on the tools to achieve superficial beauty that Evelyn imparts?
.
1. Select one movie from the list belowShutter Island (2010; My.docxketurahhazelhurst
1. Select one movie from the list below:
Shutter Island (2010; Mystery, Thriller; Leonardo DiCaprio, Mark Ruffalo
2. Watch the film you have selected as a psychology student and not merely as an ordinary film viewer (it is suggested that you watch the selected film multiple times).
3. Provide your own summary of the film, using psychological terms and concepts that you have learned in class and from your textbook. State clearly the psychological disorder you have seen portrayed in the film you have chosen, using DSM criteria/language. You should explain the psychological disorder portrayed in the movie. Determine and evaluate if the disorder identified in the film is accurate according to your textbook and other resource materials. Provide evidence using actual behaviors seen in the film. Is the depiction of the psychological disorder in the film accurate or not? Give evidence to support your claims using observable behaviors from the movie.
4. Based on the information from the film, determine what clinical diagnosis (or diagnoses) a character from the movie most likely has/have (can be the main character or supporting characters). Use criteria provided by the DSM-5 and provide an evidence-based diagnosis/diagnoses of the person. You will need to justify their diagnoses by demonstrating how the character’s symptoms meet some or all the criteria outlined in the DSM-5 as evidence of your diagnosis/diagnoses. Everything that you assert should be supported by evidence.
7. Be sure to use APA format using the latest edition of the APA Manual (7th edition).
.
1. Select a system of your choice and describe the system life-cycle.docxketurahhazelhurst
1. Select a system of your choice and describe the system life-cycle. Construct a detailed flow diagram tailored to your situation
2. What characteristics of an airplane would you attribute to the system as a whole rather than to a collection of its parts? Explain why.
.
1. Sensation refers to an actual event; perception refers to how we .docxketurahhazelhurst
1. Sensation refers to an actual event; perception refers to how we interpret the event. What are some cultural differences that might affect responses to particular stimuli, particularly in taste and pain?
2. Most of us feel like we never get enough sleep. What are the stages of sleep and what is the importance of sleep? What are some common sleep disorders and treatments?
.
1. The Institute of Medicine (now a renamed as a part of the N.docxketurahhazelhurst
1. The Institute of Medicine (now a renamed as a part of the
National Academies of Sciences, Engineering, and Medicine
) defined patient-centered care as: "Providing care that is respectful of and responsive to individual patient preferences, needs, and values, and ensuring that patient values guide all clinical decisions.”[1] While this definition clearly emphasizes the importance of a patient’s perspective in the context of clinical care delivery, it does not allow managers to focus on the actual “person” inside the institutional role of the patient.
In the same sense that a person who is incarcerated in a prison may receive extremely humane treatment, the “person” is still defined into the role of an “inmate,” and as such cannot, by definition, be granted the same rights and privileges as a non-institutionalized member of the civil order enjoys. In other words, I may be placed in a cell with great empathy and understanding of my preferences, needs, and values, but I am still being locked-up in jail.
No one is suggesting that being admitted into a jail cell is the same as being admitted into a hospital bed. There are many obvious differences between the two, including the basic purpose of the two institutions.
But while much is different, what is the same is how a pre-existing set of structured behaviors and processes are used to firmly, and without asking or negotiating, radically transform a “regular” person into a defined role of a “patient” that then can be diagnosed, treated, and discharged back into the world once the patient has finished their “time” in the “system.”
While patient-centered care emphasizes the value of increased sensitivity to a patient’s preferences, needs, and values, what we want to focus on is how decisions made by healthcare leaders affect the actual experience of a person receiving that care.
So with the "real person" in mind, this week's question is:
What can healthcare leaders do in improve the actual personal experience that "real people" go through as our "patients?"
(Be sure to develop your answers AFTER you review the definition and roles of "Leadership" in the readings for this week).
[1] Institute on Medicine, Crossing the Quality Chasm: A New Health System for the 21st Century, March, 2001
2. Health Information Technonogy - PPP Discussion
The board has created an innovation fund designed to foster improved quality, increased access, or reduced costs in healthcare delivery. Select a health information technology related to genomics, precision medicine, or diagnostics that you would propose to be funded for implementation. Prepare a PowerPoint presentation that describes the selected health information technology, what it does, why it would be beneficial, and what risks may be involved. Please note, this activity is weighted 5% toward the final grade. The PowerPoint should be no more than 5-6 slides with the presenter's notes. Follow the APA format.
.
1. The Documentary Hypothesis holds that the Pentateuch has a number.docxketurahhazelhurst
1. The Documentary Hypothesis holds that the Pentateuch has a number of underlying documents (alt., sources) that were ultimately gathered and sewn into the Pentateuch as we now have it. The method of separating those underlying documents is called source criticism. Please perform a source-critical analysis of Gen 1-3. In so doing, please identify the significant features that distinguish each underlying document. Note: There are many such features.
2. Why are covenants important in the Bible? What do they accomplish? Are they all the same, whether in structure or outlook? Do the different writers view them differently? What does the ancient Near Eastern background to the biblical covenant contribute to our understanding?
3. Dt 6:4 used to be translated
“Hear, O Israel: The LORD [YHWH] our God, the LORD [YHWH] is one.”
Currently, we translate
“Hear, O Israel: The LORD [YHWH] is our God, the LORD [YHWH] alone.”
In all likelihood, the second translation is grammatically preferable. What is the interpretive difference between “one” and “alone”? Is it significant? How, if at all, does this verse relate to the First Commandment? How does this verse relate to Gen 1:26, 3:22, and 11:7? How does this verse relate to the variant non-MT variant in Dt 32:8-9 (as reproduced in HarperCollins)? Why is any of this important?
Be sure to provide a careful, well-written essay which gives ample biblical examples (proof texts) to support the point(s) you wish to make.
.
1. Search the internet and learn about the cases of nurses Julie.docxketurahhazelhurst
1. Search the internet and learn about the cases of nurses Julie Thao and Kimberly Hiatt.
2. List and discuss lessons that you and all healthcare professionals can learn from these two cases.
3. Describe how the principle of beneficence and the virtue of benevolence could be applied to these cases. Do you think the hospital adminstrators handled the situations legally and ethically?
4. In addition to benevolence, which other virtues exhibited by their colleagues might have helped Thao and Hiatt?
5. Discuss personal virtues that might be helpful to second victims themselves to navigate the grieving process.
Scholarly article, APA format, and no grammar error
.
1. Search the internet and learn about the cases of nurses Julie Tha.docxketurahhazelhurst
1. Search the internet and learn about the cases of nurses Julie Thao and Kimberly Hiatt.
2. List and discuss lessons that you and all healthcare professionals can learn from these two cases.
3. Describe how the principle of beneficence and the virtue of benevolence could be applied to these cases. Do you think the hospital adminstrators handled the situations legally and ethically?
4. In addition to benevolence, which other virtues exhibited by their colleagues might have helped Thao and Hiatt?
5. Discuss personal virtues that might be helpful to second victims themselves to navigate the grieving process.
use reference and scholarly nursing article.
.
1. Review the three articles about Inflation that are found below th.docxketurahhazelhurst
1. Review the three articles about Inflation that are found below this.
Globalization and Inflatio
n
Drivers of Inflation
Inflation
and Unemploymen
t
2. Locate two JOURNAL articles which discuss this topic further. You need to focus on the Abstract, Introduction, Results, and Conclusion. For our purposes, you are not expected to fully understand the Data and Methodology.
3. Summarize these journal articles. Please use your own words. No copy-and-paste. Cite your sources.
4.The replies are due by the deadline specified in the Course Schedule.
Please post (in APA format) your article citation.
.
1. Review the following request from a customerWe have a ne.docxketurahhazelhurst
1. Review the following request from a customer:
We have a need to replace the aging Signage Application. This application is housed in District 4 and serves the district as well as two other districts. We would like a new application that can be used statewide to track all information related to road signs.
The current system is old and doesn’t do most of what we need it to.
The current system has a whole bunch of reports, but no way for the user to update them by themselves without getting IT involved.
We also can’t create our own reports, on-demand, when we need to. Currently, data is entered into the application manually by Administrative Staff, but in the future, we would like to be able to take a picture of the road sign using a phone app, and have it automagically populate the database with geospatial location and other information. We thought about having a Smart Watch interface, but we don’t need that. Also, the current method does not have any way to manage the quality of the data that is entered, so there is a lot of garbage information there. There is no way to centrally manage security access, with the existing application. We want to get real time alerts when a sign gets knocked over in an accident and have a dashboard that shows where signs have been knocked over across the state. This is kind of important, but not super-critical. We need to store location information, types of signs, when a new sign is installed, who installed it, etc. We plan to provide the phone app to drivers in each district who will drive around, take pictures of the signs, and upload them to the database at the end of each day, or in realtime, if a data connection is available.
Back in Central Office, reviewers will review the sign information and validate it. A report will be printed every month with the results and a map. There are probably other things, but we can’t think of anything else right now.
2. List the main goal(s) of this request
3. Write all the user stories you see (include value statements and acceptance criteria, if possible)
4. Prioritize the user stories as
a. Critical
b. Important
c. Useful
d. Out of Scope
5. Are the user stories sufficiently detailed? If not, what steps would you take to split them/further define them?
6. What are the known Data Entities?
7. Is there an implied business process? Draw an activity diagram or a flow chart of it
8. Who are the actors/roles?
9. What questions would you ask of the stakeholders to get more information?
10. What technology should be used to implement the solution?
11. What would you do next as the assigned Business Analyst working on an Agile team?
.
1. Research risk assessment approaches.2. Create an outline .docxketurahhazelhurst
1. Research risk assessment approaches.
2. Create an outline for a basic qualitative risk assessment plan.
3. Write an introduction to the plan explaining its purpose and importance.
4. Define the scope and boundaries for the risk assessment.
5. Identify data center assets and activities to be assessed.
6. Identify relevant threats and vulnerabilities. Include those listed in the scenario and add to the list if needed.
7. Identify relevant types of controls to be assessed.
8. Identify the key roles and responsibilities of individuals and departments within the organization as they pertain to risk assessments.
9. Develop a proposed schedule for the risk assessment process.
10. Complete the draft risk assessment plan detailing the information above. Risk assessment plans often include tables, but you choose the best format to present the material. Format the bulk of the plan similar to a professional business report and cite any sources you used.
.
1. Research has narrowed the thousands of leadership behaviors into .docxketurahhazelhurst
1. Research has narrowed the thousands of leadership behaviors into two primary dimensions. Please list and discuss these two behaviors.
2. Distinguish between charismatic, transformational, and authentic leadership. Could an individual display all three types of leadership?
.
1. Research Topic Super Computer Data MiningThe aim of this.docxketurahhazelhurst
1. Research Topic: Super Computer Data Mining
The aim of this project is to produce a super-computing data mining resource for use by the UK academic community which utilizes a number of advanced machine learning and statistical algorithms for large datasets. In particular, a number of evolutionary computing-based algorithms and the ensemble machine approach will be used to exploit the large-scale parallelism possible in super-computing. This purpose is embodied in the following objectives:
1. to develop a massively parallel approach for commonly used statistical and machine learning techniques for exploratory data analysis
1. to develop a massively parallel approach to the use of evolutionary computing techniques for feature creation and selection
1. to develop a massively parallel approach to the use of evolutionary computing techniques for data modelling
1. to develop a massively parallel approach to the use of ensemble machines for data modelling consisting of many well-known machine learning algorithms;
1. to develop an appropriate super-computing infra-structure to support the use of such advanced machine learning techniques with large datasets.
Research Needs:
Problem definition – In the first phase problem definition is listed i.e. business aims and objectives are determined taking into consideration certain factors like the current background and future prospective.
Data exploration – Required data is collected and explored using various statistical methods along with identification of underlying problems.
Data preparation – The data is prepared for modeling by cleansing and formatting the raw data in the desired way. The meaning of data is not changed while preparing.
Modeling – In this phase the data model is created by applying certain mathematical functions and modeling techniques. After the model is created it goes through validation and verification.
Evaluation – After the model is created, it is evaluated by a team of experts to check whether it satisfies business objectives or not.
Deployment – After evaluation, the model is deployed and further plans are made for its maintenance. A properly organized report is prepared with the summary of the work done.
Research paper Policy
· APA format
. https://apastyle.apa.org/
. https://owl.purdue.edu/owl/research_and_citation/apa_style/apa_formatting_and_style_guide/general_format.html
· Min number of pages are 15 pages
· Must have
. Contents with page numbers
. Abstract
. Introduction
. The problem
4. Are there any sub-problems?
4. Is there any issue need to be present concerning the problem?
. The solutions
5. Steps of the solutions
. Compare the solution to other solution
. Any suggestion to improve the solution
. Conclusion
. References
· Missing one of the above will result -5/30 of the research paper
· Paper does not stick to the APA will result in 0 in the research paper
· Submission
. you have multiple submission to check you safe assignments
. The percentage accepted is 1%.
1. Research and then describe about The Coca-Cola Company primary bu.docxketurahhazelhurst
1. Research and then describe about The Coca-Cola Company primary business activities. Include: Minimum 7 Pages. Excluding reference page
2.
A. A brief historical summary,
B. A list of competitors,
C. The company's position within the industry,
D. Recent developments within the company/industry,
E. Future direction, and
F. Other items of significance to your corporation.
3. Include information from a variety of resources. For example:
A. Consult the Form 10-K filed with the SEC.
B. Review the Annual Report and especially the Letter to Shareholders
C. Explore the corporate website.
D. Select at least two significant news items from recent business periodicals
The report should be well written with cover page, introduction, the body of the paper (with appropriate subheadings), conclusion, and reference page.
.
1. Prepare a risk management plan for the project of finding a job a.docxketurahhazelhurst
1. Prepare a risk management plan for the project of finding a job after graduation.
and
2. Develop a reward system for motivating IPT members to do their jobs more conscientiously and to take on more responsibility.
[The assignment should be at least 400 words minimum and in APA format (including Times New Roman with font size 12 and double spaced), and attached as a WORD file.]
Plagiarism free
.
1. Please define the term social class. How is it usually measured .docxketurahhazelhurst
1. Please define the term social class. How is it usually measured? What are some ways that social class is affecting health outcomes for people who become ill with COVID-19?
2. What is the CARES Act? Has it been enough? What has happened to people's ability to pay their bills since it expired?
3. As things stand now, data is showing higher COVID-19 related mortality rates for African Americans. Given what you know from the textbook and from the attached articles, what are some explanations for the disparity?
4. What is environmental racism (injustice)? How does environmental racism put some populations at higher risk for severe medical complications than others? (Vice article)
https://www.theatlantic.com/ideas/archive/2020/07/600-week-buys-freedom-fear/613972/
https://www.vox.com/2020/4/10/21207520/coronavirus-deaths-economy-layoffs-inequality-covid-pandemic
https://www.vice.com/en_us/article/pke94n/cancer-alley-has-some-of-the-highest-coronavirus-death-rates-in-the-country
https://www.theguardian.com/us-news/2020/apr/12/coronavirus-us-deep-south-poverty-race-perfect-storm
.
This document provides an overview of wound healing, its functions, stages, mechanisms, factors affecting it, and complications.
A wound is a break in the integrity of the skin or tissues, which may be associated with disruption of the structure and function.
Healing is the body’s response to injury in an attempt to restore normal structure and functions.
Healing can occur in two ways: Regeneration and Repair
There are 4 phases of wound healing: hemostasis, inflammation, proliferation, and remodeling. This document also describes the mechanism of wound healing. Factors that affect healing include infection, uncontrolled diabetes, poor nutrition, age, anemia, the presence of foreign bodies, etc.
Complications of wound healing like infection, hyperpigmentation of scar, contractures, and keloid formation.
ISO/IEC 27001, ISO/IEC 42001, and GDPR: Best Practices for Implementation and...PECB
Denis is a dynamic and results-driven Chief Information Officer (CIO) with a distinguished career spanning information systems analysis and technical project management. With a proven track record of spearheading the design and delivery of cutting-edge Information Management solutions, he has consistently elevated business operations, streamlined reporting functions, and maximized process efficiency.
Certified as an ISO/IEC 27001: Information Security Management Systems (ISMS) Lead Implementer, Data Protection Officer, and Cyber Risks Analyst, Denis brings a heightened focus on data security, privacy, and cyber resilience to every endeavor.
His expertise extends across a diverse spectrum of reporting, database, and web development applications, underpinned by an exceptional grasp of data storage and virtualization technologies. His proficiency in application testing, database administration, and data cleansing ensures seamless execution of complex projects.
What sets Denis apart is his comprehensive understanding of Business and Systems Analysis technologies, honed through involvement in all phases of the Software Development Lifecycle (SDLC). From meticulous requirements gathering to precise analysis, innovative design, rigorous development, thorough testing, and successful implementation, he has consistently delivered exceptional results.
Throughout his career, he has taken on multifaceted roles, from leading technical project management teams to owning solutions that drive operational excellence. His conscientious and proactive approach is unwavering, whether he is working independently or collaboratively within a team. His ability to connect with colleagues on a personal level underscores his commitment to fostering a harmonious and productive workplace environment.
Date: May 29, 2024
Tags: Information Security, ISO/IEC 27001, ISO/IEC 42001, Artificial Intelligence, GDPR
-------------------------------------------------------------------------------
Find out more about ISO training and certification services
Training: ISO/IEC 27001 Information Security Management System - EN | PECB
ISO/IEC 42001 Artificial Intelligence Management System - EN | PECB
General Data Protection Regulation (GDPR) - Training Courses - EN | PECB
Webinars: https://pecb.com/webinars
Article: https://pecb.com/article
-------------------------------------------------------------------------------
For more information about PECB:
Website: https://pecb.com/
LinkedIn: https://www.linkedin.com/company/pecb/
Facebook: https://www.facebook.com/PECBInternational/
Slideshare: http://www.slideshare.net/PECBCERTIFICATION
Strategies for Effective Upskilling is a presentation by Chinwendu Peace in a Your Skill Boost Masterclass organisation by the Excellence Foundation for South Sudan on 08th and 09th June 2024 from 1 PM to 3 PM on each day.
Leveraging Generative AI to Drive Nonprofit InnovationTechSoup
In this webinar, participants learned how to utilize Generative AI to streamline operations and elevate member engagement. Amazon Web Service experts provided a customer specific use cases and dived into low/no-code tools that are quick and easy to deploy through Amazon Web Service (AWS.)
বাংলাদেশের অর্থনৈতিক সমীক্ষা ২০২৪ [Bangladesh Economic Review 2024 Bangla.pdf] কম্পিউটার , ট্যাব ও স্মার্ট ফোন ভার্সন সহ সম্পূর্ণ বাংলা ই-বুক বা pdf বই " সুচিপত্র ...বুকমার্ক মেনু 🔖 ও হাইপার লিংক মেনু 📝👆 যুক্ত ..
আমাদের সবার জন্য খুব খুব গুরুত্বপূর্ণ একটি বই ..বিসিএস, ব্যাংক, ইউনিভার্সিটি ভর্তি ও যে কোন প্রতিযোগিতা মূলক পরীক্ষার জন্য এর খুব ইম্পরট্যান্ট একটি বিষয় ...তাছাড়া বাংলাদেশের সাম্প্রতিক যে কোন ডাটা বা তথ্য এই বইতে পাবেন ...
তাই একজন নাগরিক হিসাবে এই তথ্য গুলো আপনার জানা প্রয়োজন ...।
বিসিএস ও ব্যাংক এর লিখিত পরীক্ষা ...+এছাড়া মাধ্যমিক ও উচ্চমাধ্যমিকের স্টুডেন্টদের জন্য অনেক কাজে আসবে ...
How to Setup Warehouse & Location in Odoo 17 InventoryCeline George
In this slide, we'll explore how to set up warehouses and locations in Odoo 17 Inventory. This will help us manage our stock effectively, track inventory levels, and streamline warehouse operations.
Walmart Business+ and Spark Good for Nonprofits.pdfTechSoup
"Learn about all the ways Walmart supports nonprofit organizations.
You will hear from Liz Willett, the Head of Nonprofits, and hear about what Walmart is doing to help nonprofits, including Walmart Business and Spark Good. Walmart Business+ is a new offer for nonprofits that offers discounts and also streamlines nonprofits order and expense tracking, saving time and money.
The webinar may also give some examples on how nonprofits can best leverage Walmart Business+.
The event will cover the following::
Walmart Business + (https://business.walmart.com/plus) is a new shopping experience for nonprofits, schools, and local business customers that connects an exclusive online shopping experience to stores. Benefits include free delivery and shipping, a 'Spend Analytics” feature, special discounts, deals and tax-exempt shopping.
Special TechSoup offer for a free 180 days membership, and up to $150 in discounts on eligible orders.
Spark Good (walmart.com/sparkgood) is a charitable platform that enables nonprofits to receive donations directly from customers and associates.
Answers about how you can do more with Walmart!"
Walmart Business+ and Spark Good for Nonprofits.pdf
Chapter 13A monopolistically competitive market is characterized.docx
1. Chapter 13
A monopolistically competitive market is characterized by:
· many buyers and sellers,
· differentiated products, and
· easy entry and exit.
The monopolistically competitive market is similar to perfect
competition in that there are many buyers and sellers who can
enter or leave the market easily in response to economic profits
or losses. A monopolistically competitive firm, though, is
similar to a monopoly in that it produces a product that is
different from that produced by all other firms in the market.
The restaurant market in New York City provides a good
example of a monopolistically competitive market. Each
restaurant has its own recipes, decor, ambiance, etc. but also
must compete with many other similar restaurants.
Because each firm produces a differentiated product, it won't
lose all of its customers if it raises its prices. Thus, a
monopolistically competitive firm faces a downward sloping
demand curve for its product. As noted in Chapters 8 and 10,
whenever a firm faces a downward sloping demand curve, its
marginal revenue curve lies below its demand curve. The
diagram below illustrates the relationship that exists between a
monopolistically competitive firm's demand and marginal
revenue curves.
While the diagram above seems similar to the demand and
marginal revenue curves facing a monopolist, there is a critical
difference. In a monopolistically competitive market, the
number of firms changes as firms enter or leave the industry.
When new firms enter the market, the customers are spread over
a larger number of firms and the demand for each firm's product
declines. An increase in the number of firms also tends to result
in an increase in the elasticity of demand for each firm's
products (since demand is more elastic when more substitutes
2. are available). The diagram below illustrates the shift in a
typical firm's demand curve that occurs when additional firms
enter a monopolistically competitive market.
Short-run and long-run equilibrium in monopolistically
competitive markets
Let's examine the determination of short-run equilibrium in a
monopolistically competitive output market.
The diagram below illustrates a possible short-run equilibrium
for a typical firm in a monopolistically competitive market. As
with any profit-maximizing firm, a monopolistically
competitive firm maximizes its profits by producing at a level
of output at which MR = MC. In the diagram below, this occurs
at an output level of Qo. The price is determined by the amount
that customers are willing to pay to buy Qo units of output. In
the example below, the demand curve indicates that a price of
Po will be charged when Qo units of output are sold.
In a monopoly industry, economics profits could persist
indefinitely due to the existence of barriers to entry. In a
monopolistically competitive industry, however, the existence
of economic profits results in the entry of additional firms into
the industry. As additional firms enter, the demand for each
firm's product will fall and become more elastic. This reduction
in demand, though, results in a reduction in the level of
economic profit received by a typical firm. Entry into the
market continues until a typical firm receives zero economic
profits. This possibility is illustrated in the diagram below.
The diagram above depicts a monopolistically competitive firm
in a state of long-run equilibrium. This firm maximizes its
profit by producing an output level of Q'. The equilibrium price
is P'. Since the price equals average total cost at this level of
output, a typical firm receives a level of economic profit equal
to zero. This long-run equilibrium situation is often referred to
as a "tangency equilibrium" since the demand curve is tangent
3. to the ATC curve at the profit-maximizing level of output.
In the short run, a monopolistically competitive firm may
receive economic losses in the short run. This possibility is
illustrated in the diagram below. While each firm will continue
operations in the short run, firms will leave the industry in the
long run. As firms leave, the demand curves facing the
remaining firms will shift to the right and become less elastic.
(To see this, note that when firms leave the industry, the
remaining firms will receive some of the customers that used to
purchase the commodity at the firms that have left the industry.)
Exit from the industry will continue until economic profits
again equal zero (as illustrated in the diagram below).
Monopolistic competition vs. perfect competition
As noted in Chapter 10, perfectly competitive markets result in
economic efficiency since P = MC and firms produce at the
minimum level of ATC. The diagram below compares price and
output levels for perfectly competitive and monopolistically
competitive firms. As this diagram suggests, a perfectly
competitive firm produces output at a price (P
pc
) that is less than the price that would be charged by a
monopolistically competitive firm (P
mc
). A perfectly competitive firm will also produce a larger
quantity of output (Q
pc
) than would be produced by a monopolistically competitive
firm (Q
mc
).
Because monopolistically competitive firms produce at a level
of cost that exceeds the minimum level of ATC, they are less
4. efficient than perfectly competitive firms. This efficiency loss,
however, is a cost that society must bear if it wishes to have
differentiated products. One of the costs of having variety in
restaurants, clothing, most types of prepared foods, etc., is that
average production costs will be higher than they would be if a
homogenous product were produced.
It should be noted, though, that the larger the number of firms
in the market, the more elastic will be the demand for each
firm's product. As the number of firms grows very large, the
demand curve facing a monopolistically competitive firm will
approach the perfectly elastic demand curve that is faced by a
perfectly competitive firm. In such a situation, the efficiency
cost of product differentiation will be relatively small.
In the short run, monopolistically competitive firms may receive
economic profits by successfully differentiating their product.
Successful product differentiation, however, will soon be copied
by other firms. It is expected that such profits will disappear in
the long run. Advertising campaigns may raise the profits of a
firm in this industry in the short run, but will successful
advertising campaigns will lead to similar efforts by other firms
in the industry.
As your text notes, monopolistically competitive firms in the
same industry often locate near each other in communities as a
result of their attempts to appeal to the median customer in a
geographic region. This is why we often see car dealerships and
fast-food restaurants locating near each other on a particular
street.
Outline
I.Oligopoly: An oligopoly is a market structure in which there
are very few sellers. Each seller knows the other sellers will
react to its changes in prices and quantities. An oligopoly
market structure can exist for either a homogeneous or a
differentiated product.
A. Characteristics of Oligopoly
5. 1.Small Number of Firms: An oligopoly exists when the few top
firms account for an overwhelming percentage of total industry
output.
2.Interdependence: This is also called strategic dependence,
which is a situation in which one firm’s actions with respect to
output, price, quality, advertising, and related changes may be
strategically countered by one or more other firms in the
industry. Such dependence can only exist when there are a few
major firms in an industry.
B. Why Oligopoly Occurs
1.Economies of Scale: The strongest reason that has been
offered for the existence of oligopoly is economies of scale.
Economies of scale are defined as a production situation in
which a doubling of output results in less than a doubling of
total costs. The firm’s average total cost curve will slope
downward as it produces more and more output. Average total
cost can be reduced by continuing to expand the scale of
operation.
2.Barriers to Entry: These barriers include legal barriers, such
as patents, and control and ownership over critical supplies.
3.Oligopoly by Merger: A merger is the joining of two of more
firms under a single ownership or control. There are two types
of mergers. A horizontal merger involves firms producing or
selling a similar product. A vertical merger occurs when one
firm merges with another from which it purchases an input or to
which it sells an output.
II.Measuring Industry Concentration
A.Concentration Ratio: The percentage of all sales contributed
by the leading four or leading eight firms in an industry:
sometimes called the industry concentration ratio. The concept
of an industry is necessarily arbitrary. As a consequence,
concentration ratios rise as we narrow the definition of an
industry and fall as we broaden it. (See Table 26-1 and Table
26-2.)
B. The Herfindahl-Hirschman Index:
1. Limitation of the Centration Ratio: Concentration ratios
6. fail to reflect differences in the relative sizes of firms within an
industry. (See Table 26-3.)
2. Defining and Computing the Herfindahl-Hirschman Index:
The sum of the squared percentage sales shares of all firms in
an industry. (See Table 26-3.)
III.Strategic Behavior and Game Theory: When there are
relatively few firms in an industry, each reacts to the price,
quantity, quality, and new product innovations that the others
undertake. Each oligopolist has a reaction function, which is the
manner in which one oligopolist reacts to a change in price (or
output or quality) of another oligopolist. Game theory is the
analytical framework in which two or more individuals,
companies, or nations compete for certain payoffs that depend
on the strategy that the others employ. The plans made by these
individuals are known as game strategies.
A. Some Basic Notions about Game Theory: Games can be
cooperative or noncooperative. They are classified by whether
the payoffs are negative, zero, or positive. A cooperative game
is one in which players explicitly collude to make themselves
better off. With firms, it involves companies colluding in order
to make higher than competitive rates of return. A
noncooperative game is a game in which players neither collude
nor negotiate in any way. Applied to firms, it is a situation in
which there are few firms and each firm has some ability to
change price. A zero-sum game is a game in which one player’s
losses are exactly offset by the other player’s gains. A negative-
sum game is a game in which both players are worse off at the
end of the game. A positive-sum game is a game in which both
players are better off at the end of the game.
1.Strategies in Noncooperative Games: A strategy is any rule
that is used to make a choice, e.g., always pick heads. The goal
is to devise a dominant strategy. A dominant strategy will yield
the highest benefit for the player using it. These strategies are
generally successful no matter what actions other players take.
B.The Prisoner’s Dilemma: An example of game theory in
which two people involved in a bank robbery are caught.
7. 1. The Structure of the Prisoner’s Dilemma: The payoff
matrix shows two possibilities for each of the two prisoners:
“confess” and “don’t confess.” (See Figure 26-1.)
2. The Predicted Prisoner’s Dilemma Outcomes: To confess
is a dominant strategy for each of the two prisoners. This is a
dilemma because the prisoners know that both of them will be
better off if nether confesses. (See Figure 26-1.)
C.Applying Game Theory to Pricing Strategies: An example of
the use of game theory is presented. (See Figure 26-2.)
D.Opportunistic Behavior: Actions that ignore possible long-run
benefits of cooperation and focus solely on short-run gains.
This kind of behavior can be contrasted to tit-for-tat strategic
behavior when repeat transactions are likely. Here, a player will
behave well as long as others do likewise.
IV.The Cooperative Game: A Collusive Cartel: This section
looks at why firms collude to increase prices, how they work to
do so, and what they have to do to be successful.
A.Collusive Production and Pricing and the Seeds of a Cartel’s
Undoing: Firms in an industry must collude if they decide to
form a cartel so that they can achieve the same outcome as a
monopoly and increase their profits above a competitive level.
1. Collusive Price and Output Determination by Firms in a
Cartel: To operate a
profit-maximizing cartel, member firms must be willing and
able to set up and maintain an arrangement for coordinating
overall cartel production at a common price. Then they can
share the maximized profits. (See Figure 26-3.)
a. The Pre-Cartel, Noncoordinated Market: In the absence of
collusion among firms, the market clearing price in the long-run
equilibrium equals the firm’s minimum average total cost. (See
Figure 26-3 (a).)
b. Boosting Economic Profits via a Collusive Cartel Price: If
firms in the market form a joint cartel enterprise, they
coordinate their production and regard the sum of their marginal
costs as the overall marginal cost of the cartel. All firms will
agree to charge the price at which the market marginal revenue
8. equals the cartel’s overall marginal cost. (See Figure 26-3 (b).)
c.Profit-Maximizing Collusion Requires Reducing Total
Production: The cartel production is lower than output under
perfect competition. Firms thereby will raise
its economic profits from zero under perfect competition to a
positive amount.
(See Figure 26-3.)
2. The Temptation to Cheat on a Cartel Agreement: Any one
member of the cartel can increase its total own revenues and
profits by lowering price slightly as long as all of the other
firms in the cartel honor their agreement to reduce production.
B. Enforcing a Cartel Agreement: There are four conditions
that make it more likely that firms will be able to coordinate
their efforts to restrain output successfully and deter cheating.
1. A Small Number of Firms in the Industry: The smaller the
number of firms in the industry, the easier it is to prevent
cheating.
2. Relatively Undifferentiated Products: If the cartel
members sell a homogeneous or nearly homogeneous product, it
is easier for them to agree on how much each firm should
reduce production.
3.Easily Observable Prices: If the terms of industry transactions
are publically available, cartel members can more readily
observe a firm’s efforts to cheat.
4. Little Variations in Prices: Stable demand and cost
conditions help a cartel form and continue to operate
effectively.
C.Why Cartel Agreements Usually Break Down: Most cartels
usually do not last for more than 10 years. Monopoly profits
attract new entrants to the industry, and price falls. In addition,
downturns in overall economic activity cause the cartel’s
demand and thus the demand for all member firms to decrease.
This increases the incentive to cheat on the cartel agreement.
V.Network Effects and Two-Sided Markets: A network effect is
a situation in which a consumer’s willingness to purchase a
good or service is influenced by how many others also buy or
9. have bought the item.
A.Network Effects and Market Feedback: Industries in which
network effects are important can experience sudden surges in
growth as well as significant and sudden reversals.
1.Positive Market Feedback: A tendency for a good or service to
come into favor with additional consumers because other
consumers have chosen to buy them.
2. Negative Market Feedback: A tendency for a good or
service to fall out of favor with more consumers because other
consumers have stopped purchasing the item.
B.Network Effects and Industry Concentration: In an industry
that produces and sells products subject to network effects,
oligopoly is likely to emerge. The reason is that in an industry
that sells differentiated products subject to network effects,
when the products of a few firms catch on, these will capture
the bulk of the sales of the industry.
C. Two-Sided Markets, Network Effects, and Oligopoly: A
two-sided market is a market in which an intermediary firm
provides services that link groups of producers and consumers.
1.Types of Two-Sided Markets: In a two-sided market, the
intermediary firm is a platform and the groups of producers and
consumers are end users. (See Figure 26-4.)
a.Audience Seeking Markets: Media platforms link advertisers
to audiences.
b. Matchmaking Markets: Platform firms, such as real estate
agents and online dating firms, bring end users together.
c. Transaction-based Markets: Banks, credit- and debit-card
companies are platforms that finalize transactions between
retailers and card holders.
d. Shared-Input Markets: Groups of end users utilize a key
input obtained from a platform.
2.Network Effects in Two-Sided Markets: Network effects are a
common feature of two-sided markets. Groups of end users
benefit from the network effects in different types of two-sided
markets.
3.Two-Sided Oligopolistic Pricing: Oligopoly is the most
10. common industry structure in two-sided markets with network
effects. In these markets, a few firms are often able to capture
most of the payoffs associated with market feedback. In a two-
sided market, platform firms that set prices must consider group
differences in network effects. In some two-sided markets,
platform firms maximize profits by charging an explicit price of
zero or even negative prices, or subsidies, for one group of end
users.
D. Comparing Market Structures: Market structures are
compared in Table 26-4.