What two rules does a perfectly competitive firm apply to determine its profit-maximizing quantity of output? What is the profit maximizing rule for a monopolist? What are the profit-maximizing conditions under oligopoly? Describe how one can maximize profit in a perfect competition market?
Which type of firm is most likely to have zero economic profit in the long run: monopoly, oligopoly, monopolist competition or perfect competition? Explain. What does an oligopoly refer to? What companies do you see as monopolies that that should be busted?
Another risk with proof-of-stake systems in both the analog and digital world is that they tend to centralize over time into an oligopoly. Since it doesn’t require ongoing resource inputs to maintain your stake and to grow it over time, wealth tends to compound into more wealth, which th...
Neoclassical microeconomists in the 19th and 20th centuries claimed to be able to demonstrate mathematically that perfectly competitive markets could maximize economic efficiency and social welfare. One Englishman in particular, William Stanley Jevons, took the ideas of perfect competition and argued that ...
Player i with type τ and signal si chooses an action xi so as to maximize the expected perceived payoff (α + τ − bχj(si, sj) − xi)xi, where the expectation is taken over players j who produced the signal sj when they meet somebody with signal si, and χj(si, sj) is...
In an oligopoly, there are only a few firms or players who form the industry. This select cluster of companies has control over the price. Also, oligopoly has high barriers to entry. Perfect competition arises when there are many buyers and sellers, products that are similar in nature and ...
economists have been divided on the theory ofmonopolistic competition. Economists agree that most monopolistic activity is the result of government privileges to certain firms; however, many also believe that a natural industry concentration, or a monopoly oroligopoly, does not result in market ineffici...
What does 'Speed makes a difference' in the second paragraph mean?A monopolist produces a good using only one factor, labor. There are constant returns to scale in production, and the demand for the monopolist's product is described by a downward sloping straight li...Speed...
On the entrepreneurs' side, the expected utility framework and the social identity theory suggest that entrepreneurs decide on the finan- cial conditions that would make them accept a certain investment to maximize their returns on their human capital (Douglas & Shepherd, 2000) or that preserves ...
An example would be analyzing how the introduction of a new technology affects pricing and consumer choice within the smartphone market. 6 What is the significance of market structures in microeconomics? Market structures (such as perfect competition, monopoly, oligopoly) are significant in microeconomic...