ASSIGNMENT – COMPLETE THE TABLE/MATRIX

NUMBER PRODUCTS PRICE A EASY DISTINGUISHED BY EXAMPLES

OF FIRMS (DIFFERENTIATED DECISION ENTRY
OR VARIABLE (YES OR
HOMOGENEOUS) (YES OR NO)
NO)
PERFECT Infinite Homogenous No (price Yes -easy entry and exit Agricultural
COMPETITION taker) -available perfect substitutes markets(wheat,
-Number of buyers and corn, flour)
seller is very large
MONOPOLY one Unique Yes (price No -single firm selling all Public utilities
setter) output in a market (electricity,
-perfect substitutes is not water)
available
-entry is impossible and
may face threats upon entry
MONOPOLISTIC many Differentiated Yes (price Yes -Products in monopolistic Retail trade
COMPETITION setter) competition are close (pharmacies),
substitutes restaurants,
-numerous sellers hotels
-entry and exit is relatively
free
OLIGOPOLY Two or DIFFERENTIATED Yes (price No -take into account their Automobiles,
more OR setter)Done interdependence airlines, health
(few) HOMOGENEOUS -few sellers insurance
-substitutes may or may not
be available
-enrty and exit is very
difficult