Ch 23: Pure Competition

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Across
  1. 5. One firm, price maker, high barriers of entry
  2. 7. type of industry, firms experience lower costs as the industry expands. Long-run supply curve of this industry is downsloping
  3. 9. the exclusive right of an inventor to use, or allow another to use, her or his invention (a barrier of entry)
  4. 12. Industry expansion or contraction won't affect resource prices and production costs.
  5. 13. selling the same thing to people for different prices (movie tickets)
  6. 17. In many large cities, the number of taxicabs is limited by the municipality, which requires:
  7. 18. type of efficiency, producing at minimum ATC
  8. 19. If MR=MC is below AVC, you will shutdown
  9. 20. type of efficiency, quantity most wanted by society; MC=D
Down
  1. 1. a point where the output at which a firm makes a normal profit but not an economic profit MC=ATC
  2. 2. few dominant firms, interdependent behavior, high barriers of entry
  3. 3. change in total revenue that results from the sale of 1 additional unit of a firm's product
  4. 4. type of competition, many firms, same product, price taker
  5. 6. P>MC yields less than max profit, society wants more products than resource provides
  6. 8. type of industry, ATC curves shift upward as industry expands
  7. 10. type of competition, many firms, no long term profit, low barriers of entry, differentiated products
  8. 11. Index that measures market concentration. Square market share, sum the resulting numbers. Ranges (0-10,000)
  9. 14. general type of competition, all market structures except perfect competition includes monopoly, monopolistic competition, and oligopoly
  10. 15. secret agreement between two firms (illegal)
  11. 16. an association of manufacturers or suppliers with the purpose of maintaining prices at a high level and restricting competition.