This document discusses different market structures: monopoly, monopolistic competition, oligopoly, and factors affecting wages. A monopoly exists when a single firm controls the entire supply. Monopolistic competition allows consumer variety between similar but not identical products. An oligopoly is dominated by a small number of strategically interacting firms. Population growth and labor supply can impact wages.

1. IMPERFECT
COMPETITION

2. Monopoly
 Exist when a single firm that sells in
the market has no close substitutes.
 A single seller has control of entire
supply of raw materials
 Ownership of patent or copyright is
invested in a single seller
 Grant of a government franchise to a
single firm

3. Monopolistic
 Allows such variety of choices
ex. A successful executive, who is
shopping for a car, may choose to buy
from Toyota, Honda, MercedesBenz, or
Volkswagen.
- A blend of competition and Monopoly
- Many sellers offer heterogenous or
differentiated products, similar but not
identical and satisfy the same basic
need

4. Oligopoly
 Is a market dominated by a small
numer of strategically interacting firms.
 Producers of oil from all around the
world can manage to raise prices by
agreeing with each other on what
prices to charge the consumers. Thus,
countries that use a lot of oil have no
choice but to buy from these
producers at high prices.

5. Labor Supply, Population
Growth, and Wages