PPT-Market Structures: Monopoly

Slide 2 presents a table that can be printed for each student For best results use landscape page orientation Slides 3 through 10 plots and draws marginal revenue marginal cost average total cost and average revenue demand respectively. 1. . Graphs and Tables Copyright . © 2012 by The McGraw-Hill Companies, Inc. All rights reserved.. Antitrust policy. Main purpose. : prevent monopolization, promote competition, and achieve . allocative. Types of Market Structure. Four principal models of market structures:. Perfect Competition. Many producers sell identical product. Monopoly. Single producer sells a single, undifferentiated product. What does monopoly mean?. . “. monos. ” = one “. polein. ” = seller. Not a new phenomenon .  Thales, Aristotle. Necessary conditions. Single seller . Examples: most public utility companies and patented drugs.. Copyright © 2017 Pearson Education, Inc. All Rights Reserved. Is Any Firm Ever Really a Monopoly?. We define monopoly.. Monopoly. is a market structure consisting of a firm that is the only seller of a good or service that does not have a close substitute.. The US justice department filed antitrust charges against Microsoft. In 2000 the court declared that Microsoft was a monopoly.. In 2008, the European Commission sent Intel Corp. a new set of antitrust charges for abuse of dominant position with the goal of excluding its main rival from the x86 central processing units market. Monopolization under Sec. 2. Randal C. Picker. James Parker Hall Distinguished Service Professor of Law. The Law School. The University of Chicago. Copyright . © . 2000-18 . Randal C. Picker. All Rights Reserved.. 12.1 Introducing a New Market Structure. 12.2 Sources of Market Power. 12.3 The Monopolist’s Problem. 12.4 Choosing the Optimal Quantity and Price. 12.5 The “Broken” Invisible Hand: . The Cost . What is a monopoly?. A monopoly forms when barriers prevent firms from entering a market that . has a single . supplier with close to no substitute goods. .. Monopoly markets only have one seller, whereas, perfectly competitive markets have multiple sellers.. Market structure – identifies how a market . is made up in terms of:. The number of firms in the industry. The nature of the product produced. The degree of monopoly power each firm has. The degree to which the firm can influence price. Oligopoly. Perfect competition. Monopoly. Monopolistic competition. Small Town U.S.A. has no airport, no train service, and no water transportation systems. It only has Greyhound Transportation. In Small Town U.S.A., Greyhound. Market Structure: Monopoly. Intro to Monopolies. Monopoly is exact opposite of perfect competition. Monopoly – one supplier of a good . Demand curve for the firm = demand curve for the market. Market Structure: Monopoly. The word Monopoly is a combination of two words in which “mono” implies “single” and “poly” means “seller”. Therefore, the market controlled by a sole trader is said to a Monopoly market.. Graph Time . Regular Monopoly . Natural Monopoly. Welfare Effects of Monopoly. Under a perfect competition the market price is the sales price leading to an efficient outcome, both productively and allocatively . Monopoly Meaning: . A m. onopoly is a market structure characterized by a single seller or producer that controls the entire supply of a particular good or service. This dominance gives the monopoly significant market power, allowing it to...