2.4+2.5 - Price+Competition Flashcards
1
Q
Price
A
the sum of money that you have to pay for a good or service
2
Q
Worth
A
an opinion on how much we value that good or service which can change over time
3
Q
Market mechanism
A
what happens when goods and services meet, how goods and services are allocated
4
Q
Equilibrium
A
where demand and supply meet, demand=supply
5
Q
Competition
A
where different firms are trying to sell similar goods to consumers
6
Q
Monopoly
A
markets without competition; a sole seller or producer of a good/service
7
Q
Barriers to entry
A
an obstacle preventing firms from entering a market
8
Q
Economies of scale
A
the decrease in costs as the firm gets bigger
9
Q
Oligopoly
A
a market structure in which a few firms dominate
