Chap 10 (Quiz 6) Flashcards
Monopoly
A situation in which one firm produces all of the output in a market
Barriers to entry
The legal, technological, or market forces that may discourage or prevent potential competitors from entering a market.
Natural Monopoly
Economic conditions in the industry, for ex, economies of scale or control of a critical resources, that limit effective comp.
Patent
A gov rule that give the inventor the exclusive legal right to make, use, or sell the invention for a limited time
Price Discrimination
Charging diff prices to diff customers
Monopolistic Competition
Many firms competing to sell similar but differentiated products
Oligopoly
When a few large firms have all or most of the sales in an industry
Differentiated Product
A prod that consumers perceive as distinctive in some way
