Is the oil and gas company in perfect competition, an oligopoly, or a monopoly? Explain.
Is the oil and gas company in perfect competition, an oligopoly, or a monopoly? Explain.
Homework Answers
The Oil and gas company is in a Oligopoly competitive market because in the oil and gas industry, a small number of firms control the total market supply. It is very difficult for new firms to enter the oil and gas industry due to high barriers for entry such as huge capital, high level of expertise required for oil exploration and processing of crude oil. The oil and gas companies exhibit interdependence among other companies and any move by one firm in the form of price or output will immediately affect the other sellers in the market which will necessitate moves and counter moves among competing firms.
In the oil and gas industry firms collude with each other to fix the price of the commodity or to share the market. The collusion acts as a barrier for new firms to enter into the market.
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Is the oil and gas company in perfect competition, an oligopoly,
or a monopoly? Explain.
Compare oligopoly, monopoly and perfect competition
Compare oligopoly, monopoly and perfect competition
In the perfect competition, monopolies competition, monopoly, oligopoly, who is earning an economic profit and accounting...
In the perfect competition, monopolies competition, monopoly, oligopoly, who is earning an economic profit and accounting profit in the long run and short-run?
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What kind of business structure(s) (Perfect Competition, Monopoly, Monopolistic Competition, or Oligopoly) would you classify eBay as? Why?
1. What do you think best describes each of the following markets: perfect competition, monopoly, oligopoly...
1. What do you think best describes each of the following markets: perfect competition, monopoly, oligopoly or monopolistic competition? Explain. a. The market for cars. b. The market for soy beans. c. The market for cellphones. d. The market for dining out in a large city. 2. Why is price equal to marginal revenue for a perfectly competitive firm but not for a monopolist?
entry, an oligopoly has entry, and perfect competition has A monopoly has entry. O limited; free;...
entry, an oligopoly has entry, and perfect competition has A monopoly has entry. O limited; free; no O no; limited; free O no: limited; limited O free; limited; no
This industry is most susceptible to collusion: Perfect Competition Monopolistic Competition Pure Monopoly More than one...
This industry is most susceptible to collusion: Perfect Competition Monopolistic Competition Pure Monopoly More than one of these is correct Oligopoly
Question 11 Which market structure has a few interdependent sellers? monopolistic competition monopoly perfect competition oligopoly...
Question 11 Which market structure has a few interdependent sellers? monopolistic competition monopoly perfect competition oligopoly Question 12 Which of the following is legal? collusion none of the above price leader cartel Question 13 When a dominant firm sets the price and others follow, what is that called? price leader crowding out cartel collusion Question 14 Which theory answers the question "How would my competitor respond if I did this?" crowding out price leadership Game Theory collusion Question 15 Which...
[27] Mutual interdependence exists in which of the following markets? B. Perfect competition Monopoly Oligopoly All...
[27] Mutual interdependence exists in which of the following markets? B. Perfect competition Monopoly Oligopoly All of the above [28] Suppose a firm is currently producing an output such that profit equals $2000. Suppose the marginal revenue associated with the next unit of output equals $500, while the marginal cost of the next unit of output equals $200. If this firm produces the next unit of output, then profit will become: $2,700 $2,500 $2,300 $2,200
Monopoly and perfect competition are polar opposites. In the former, there is only one producer of...
Monopoly and perfect competition are polar opposites. In the former, there is only one producer of a good. Barriers to entry are high. In the latter, there are many producers of an identical product. There are no barriers to entry. Most markets are not perfectly competitive, nor are they monopolized. We categorize everything in between these polar extremes as "imperfect competition". There are two major models of imperfect competition – monopolistic competition and oligopoly. Questions for discussion: 1. What are...
Monopoly vs. Perfect Competition
Monopoly vs Perfect Competition: Requested question and instructions below
1. What do you think best describes each of the following markets: perfect competition, monopoly, oligopoly or monopolistic competition? Explain. a. The market for cars. b. The market for soy beans. c. The market for cellphones. d. The market for dining out in a large city. 2. Why is price equal to marginal revenue for a perfectly competitive firm but not for a monopolist?
entry, an oligopoly has entry, and perfect competition has A monopoly has entry. O limited; free; no O no; limited; free O no: limited; limited O free; limited; no
[27] Mutual interdependence exists in which of the following markets? B. Perfect competition Monopoly Oligopoly All of the above [28] Suppose a firm is currently producing an output such that profit equals $2000. Suppose the marginal revenue associated with the next unit of output equals $500, while the marginal cost of the next unit of output equals $200. If this firm produces the next unit of output, then profit will become: $2,700 $2,500 $2,300 $2,200
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