Author Question: Describe the difference in market structure between monopoly and oligopoly. What will be an ideal ... (Read 18 times)

abarnes · **on:** Jul 1, 2018

Describe the difference in market structure between monopoly and oligopoly.

What will be an ideal response?

Question 2

You pay 15 for an all-you-can-eat buffet. The food isn't so good, but definitely edible. When you finish eating, what is the marginal value of the last bite of food you consumed?

A) zero
B) 15
C) positive
D) negative

sarah_brady415 · **Reply #1 on:** Jul 1, 2018

Answer to Question 1

Monopoly has only one producer because the product is unique, or has no close substitutes, or government gives it the exclusive authority to produce and sell that product.

Oligopoly has relatively few large firms producing standardized or differentiated products, but for which entry into or exit from the industry is very difficult, so that they are mutually interdependent in their pricing-output decisions.

Answer to Question 2

A