Term
|
Definition
| ______ concentration ratios are common in monopolistic competition. |
|
|
Term
|
Definition
| A market in which many firms produce similar goods or services but each maintains some independent control of its own price. |
|
|
Term
|
Definition
| The demand curve for a monopolistic competition is? |
|
|
Term
|
Definition
| In a monopolistic competition changes in the ________ of a single firm will have no perceptible influence on the sales of any other firm. |
|
|
Term
|
Definition
| In a monopolistic competition barriers of entry are ___. |
|
|
Term
|
Definition
| One notable feature that monopolistic competition has is ________. |
|
|
Term
|
Definition
| Each firm in a monopolistic competition has distinct identity also called _____________. |
|
|
Term
| monopoly on its brand image |
|
Definition
| In monopolistic competition, each firm has a _______ _________ |
|
|
Term
|
Definition
| Brand loyalty makes the demand curve facing the firm less ________. |
|
|
Term
| low cross-price elasticity of demand |
|
Definition
| Brand loyalty implies ______________. |
|
|
Term
|
Definition
| The selection of the short-run rate of output (with existing plants and equipment). |
|
|
Term
|
Definition
| The difference between total revenues and total economic costs. |
|
|
Term
- The industry cost curves shift to the right, pushing down price
- The demand curves facing individual firms shift to the left
|
|
Definition
| When firms enter a monopolistically competitive industry: |
|
|
Term
| eliminate economic profits |
|
Definition
| Although each firm has some control over its own pricing decisions, entry-induced leftward shift of the demand curve facing the firm will ultimately ___________. |
|
|
Term
|
Definition
| In the long run, there are no _______ _______ in monopolistic competition. |
|
|
Term
|
Definition
| Monopolistic competition tends to be less _____ in the long run than a perfectly competitive industry |
|
|
Term
|
Definition
| One issue that monopolistic competition faces: |
|
|
Term
|
Definition
| The offer (supply) of goods at prices equal to their marginal cost. |
|
|
Term
|
Definition
| A monopolistic market is also referred to as a _____ ________. |
|
|
Term
|
Definition
| 80% of USA retailers qualify as this |
|
|
Term
|
Definition
| Brand loyalty gives producers _____ control over price even though they still have to compete with other firms offering substitutes. |
|
|
Term
|
Definition
| Entry into the industry stops when economic profits equal ____. |
|
|
Term
| Starbucks on every corner |
|
Definition
| An example of excessive capital. |
|
|
Term
|
Definition
| In an imperfect competition, firms engage in ______ competition |
|
|
Term
|
Definition
| In truly _______ competitive industries, firms compete on the basis of price. |
|
|
Term
|
Definition
| There are _____ firms in monopolistic competition |
|
|
