• Shuffle
    Toggle On
    Toggle Off
  • Alphabetize
    Toggle On
    Toggle Off
  • Front First
    Toggle On
    Toggle Off
  • Both Sides
    Toggle On
    Toggle Off
  • Read
    Toggle On
    Toggle Off
Reading...
Front

Card Range To Study

through

image

Play button

image

Play button

image

Progress

1/13

Click to flip

Use LEFT and RIGHT arrow keys to navigate between flashcards;

Use UP and DOWN arrow keys to flip the card;

H to show hint;

A reads text to speech;

13 Cards in this Set

  • Front
  • Back
When there is only one seller in a market
monopoly
Monopolist are able to increase its profits by raising prices
Price makers or market power
gives an inventor a monopoly on his or her invention
patent
A business arrangement under which only one firm is allowed to produce in a particular territory
exclusive franchise
If a single firm can produce at a lower average total cost than any combination of two or three or more firms
natural monopoly
when a firm sells all of its hot dogs at the same price
Ex.) Coliseum Enterprises
Single-priced monopoly
Total Revenue (TR) dived by the number of units sold (Q)
Average Revenue (AR)
Price (P) times the number of units sold (Q)
Total Revenue (TR)
Is the amount by which society is worse off as a result of having monopoly instead of competition.
deadweight loss
When a monopoly is wasteful because it has a reduced incentive to use resources wisely
X-inefficiency
a single firm that could produce at lower average total cost than could any combination of two or more smaller firms
Natural Monopoly
When different customers are charged different prices for the same good or service.
Price discrimination
If a firm were able to charge the exact maximum that each customer is willing to pay.
Perfect price discrimination