Micro Chap. 9

The fact that the demand curves of imperfect competitors slope down has an important implication: Imperfect competitors areprice-makers notpricetakers. They must decide on the price of their product, while perfect competitors take the price as given.

Any market structure which varies from the perfectly competitve case

An industry in which a single seller has complete control over output and price. / In the long run, no monopoly is completely secure from attack by competitors.

An industry in which a few sellers control the market, recognizing their mutual interdependence.

An industry in which many firms compete fiercely b differentiating their products

Occurs when firms in an industray try to make their products look or seem different from the products of rivals

Occur when the per unit costs of production decline as output increases.

Factors that make it hard for new firms to enter an industry