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Perfect Competition
Essay specific features
Written by:
David W
Date added:
October 6, 2015
Level:
University
Grade:
A
No of pages / words:
2 / 470
Was viewed:
2671 times
Rating of current essay:
Essay content:
The fundamental cause of monopoly is barriers to entry; these are technological or economic conditions of a market that raise the cost for firms wanting to enter the market above the cost for firms already in the market or otherwise make new entry difficult. If the barriers to entry prevent others firms from entering the market, there is no competition and the monopoly remains the only seller in its market...
displayed 300 characters
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If the barriers to entry prevent others firms from entering the market, there is no competition and the monopoly remains the only seller in its market. The seller is then able to set the price and output of a particular good or service.
o Pure Competition: Market condition wherein no buyer or seller has the power to alter the market price of a good or service...
displayed 300 characters
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