Reading...
Play button
Play button
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;
14 Cards in this Set
- Front
- Back
|
each firm has a monopoly only on its brand image and it still competes with other firms offering close substitutes
|
competitive monopolies
|
|
|
the difference between total revenues and total economic costs
|
economic profit
|
|
|
the offer of goods at prices equal to their marginal cots
|
marginal cost pricing
|
|
|
imperfectly cometitive firms engage in
|
non price competition
|
|
|
large number of small firms produce the market output
|
market structer of monopolistic competition
|
|
|
What type of demand takes place in monopolistic competition
|
elastic
|
|
|
how many real world firms are best classified as monopolistic competition?
|
70 percent
|
|
|
What makes a makes a products demand curve less elastic in a competitive monopoly
|
brand loyalty
|
|
|
what characterizes monopolistic competition
|
low barriers to entry and exit
|
|
|
occurs when the price of a product is equal to the marginal cost of producing that product
|
allocative efficiency
|
|
|
monoplistically competitve firms are usually since product price is slightly greater than mc
|
allocatively inefficient
|
|
|
absence of waste in production occurs when the quantity of output produced by a firm minimizes the ATC of producing output
|
productive efficiency
|
|
|
most firms in our economy are only slightly
|
inefficient
|
|
|
higher prices in monopolistic competition are a reflection of
|
variety
|
