Enhance Your Learning with Economics - Monopoly Flash Cards for quick learning
A market structure characterized by a single seller or producer, with no close substitutes for its product or service.
The ability of a firm to influence the market price of its product or service, often due to its monopoly position.
Obstacles that make it difficult for new firms to enter a market, such as high startup costs, government regulations, or exclusive access to resources.
The pricing strategy used by a monopolistic firm, which typically involves setting prices higher than in a competitive market to maximize profits.
The excess revenue earned by a monopolistic firm over its total costs, resulting from its ability to set prices above marginal cost.
Government intervention and oversight of monopolies to prevent abuse of market power and protect consumer welfare.
A comparison between the characteristics and outcomes of a monopoly market and a perfectly competitive market.
The impact of a monopoly on consumer welfare, including higher prices, reduced choice, and potential exploitation.
The relationship between monopolies and innovation, including the incentives and disincentives for research and development.
Instances where monopolies can lead to market inefficiencies and suboptimal outcomes, such as deadweight loss and reduced economic welfare.
The role of government in regulating and controlling monopolies to ensure fair competition and protect consumer interests.
The efficiency of resource allocation and production in a monopoly market, compared to a perfectly competitive market.
The overall impact of a monopoly on societal well-being, considering both economic and social factors.
The practice of charging different prices to different customers based on their willingness to pay, often employed by monopolies to maximize profits.
A type of monopoly that arises when economies of scale enable a single firm to serve the entire market at a lower cost than multiple firms.
The regulation and control of monopolies in industries that provide essential services to the public, such as water, electricity, and telecommunications.
Laws and regulations aimed at promoting competition and preventing monopolistic practices, such as price fixing and collusion.
A market structure characterized by a single buyer or purchaser, with significant market power to influence prices and terms of trade.
A market structure characterized by a small number of large firms, often with interdependent decision-making and potential collusion.
Collusive agreements between firms in an industry to restrict competition, often through price fixing and market sharing.
The application of strategic decision-making and mathematical models to analyze the behavior and outcomes of monopolies and other market structures.
The deliberate actions and choices made by a monopolistic firm to maximize its profits and maintain its market power.
The degree to which a market is dominated by a small number of large firms, often measured by market share or concentration ratios.
The impact of monopolies on income distribution and wealth disparities within a society.
The pursuit of economic gain through activities that do not create new wealth, such as lobbying for government favors or seeking monopoly privileges.
The loss of economic efficiency and welfare caused by a monopoly's ability to restrict output and charge higher prices.
The excess payment or profit earned by a monopolistic firm above the minimum amount necessary to keep it in operation.
The ability of a monopolistic firm to control prices, exclude competitors, and influence market outcomes.
The illegal practice of colluding with competitors to set prices at a fixed level, reducing competition and consumer choice.
Secret or illegal cooperation between firms to manipulate market prices, restrict output, or divide markets.
The position of a firm or industry with significant market power and control over market outcomes, often resulting in limited competition.
Obstacles that restrict or impede international trade, such as tariffs, quotas, and trade agreements.
The deviation from perfect competition and efficient market outcomes caused by monopolistic practices and market power.
The deliberate actions taken by a monopolistic firm to influence market conditions and outcomes in its favor.
The portion or percentage of total market sales or revenue controlled by a single firm or group of firms.
The organization and characteristics of a market, including the number of firms, barriers to entry, and degree of competition.
The point at which the quantity demanded and quantity supplied in a market are equal, determining the market price and quantity.
The ability of a market to allocate resources and produce goods and services in the most efficient manner, maximizing economic welfare.
The ability of a firm to influence market conditions and outcomes, often through its control over prices, output, and competition.
The process and challenges faced by new firms attempting to enter a market dominated by a monopolistic competitor.
The decision of a firm to cease operations and exit a market, often due to unprofitability or inability to compete with a monopoly.
The economic factors and influences that shape market outcomes, including supply and demand, competition, and consumer preferences.
Government oversight and control of monopolies to ensure fair competition, protect consumer interests, and prevent market abuses.
The division of a market into distinct groups or segments based on consumer characteristics, preferences, or purchasing behavior.
The point at which a market is fully penetrated and further growth becomes difficult or limited, often due to high market concentration.