ECON 1 Lecture Notes - Lecture 15: Marginal Cost, Monopolistic Competition, Productive Efficiency

9 views3 pages

Document Summary

Diminishing returns, production costs, and product supply: Changes in supply factor prices of variable inputs or in technology will alter costs and shift the marginal cost or short run supply curve to a new location. The total market is the total of the supply schedule of the industry firms. The total revenue (tr) = the q of each firm x price. Pure monopoly is a market structure in which one firm is the sole seller of a product or service for example a utility. Monopolistic competition is characterized by a relatively large number of sellers producing differentiated products. Product differentiation- firm distinguishes its product on the basis of workmanship or design. Oligopoly- involves only a few sellers of a standardized or differentiated product so each firm is affected by the decisions of its rivals and must take those decisions into account in determining its own price and output.

Get access

Grade+20% off
$8 USD/m$10 USD/m
Billed $96 USD annually
Grade+
Homework Help
Study Guides
Textbook Solutions
Class Notes
Textbook Notes
Booster Class
40 Verified Answers
Class+
$8 USD/m
Billed $96 USD annually
Class+
Homework Help
Study Guides
Textbook Solutions
Class Notes
Textbook Notes
Booster Class
30 Verified Answers

Related Documents

Related Questions