Economics Assignment: Perfect Competition, Monopoly, Oligopoly, and Types of Goods

RUNNNG HEAD: ECONOMICS ASSIGNMENT
Economics assignment
Name of the student
Name of the university
Author note

1ECONOMICS ASSIGNMENT
Table of Contents
Answer 1....................................................................................................................................2
Answer 2....................................................................................................................................5
Answer 3....................................................................................................................................6
Answer 4....................................................................................................................................9

2ECONOMICS ASSIGNMENT
Answer 1
(a)
In case of perfect market conditions firms are known to be the price takers and not
price makers since other firms can very easily enter the market and will be producing
products which will be quite similar from the other product. In case of perfect competition,
firms are known to sell homogenous products which makes it easy for the firms to enter the
market. These factors make it quite difficult for the firms to set their prices above the market
price which will be making them the price maker rather the price taker.
(b)

3ECONOMICS ASSIGNMENT