dotamasta

cfagoal2 Wrote:
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> I think this is a terrible question, are you
> getting these from investopedia?
>
> The outcome will be different depending on what
> type of market it is, I don't think it will be the
> same for monopoly, perfect competition, oligopoly,
> and monopolistic competition.


LOL I like the investopedia comment. I bought a securities licensing exam book from them and returned it to them in a week. It was absolute garbage and every section had a reference to a web address on investopedia to get more info.

Monopoly-Barriers to entry are high which allows them to charge higher prices
Perfect competition-there are already many competitors so it is a moot point
Oligopoly-Few sellers with the opportunity to collude on price....cartels like OPEC, High barriers to entry
I think this can only apply to Monopolistic Competition. Low barriers to entry, maybe oligopoly