| Term | Definition |
|---|
| collusion | secret agreement or cooperation |
| economies of scale | a situation in which long-run average cost decreases as a firm's output increases |
| geographic monopoly | A monopoly based on the absence of other sellers in a certain geographic area. |
| government monoply | a monopoly the government owns and operates |
| imperfect competition | a market structure that does not meet the conditions of perfect competition |
| laissez- faire | the doctrine that government should not interfere in commercial affairs |
| market structure | The nature and degree of competition among firms operating in the same industry. |
| monopolistic comprtition | is the market structure that has all the conditions of perfect competition except for identical products |
| monopoly | A market in which there is no competition; one company controls the market |
| natural monoply | market where the costs of production are minimized by haveing a single firm produce the product |
| nonprice competition | The use of advertising, giveaways, or other promotional campaigns to convince buyers that the product is somehow better than the other brand. |
| oligopoly | a market structure in which a few large firms dominate a market |
| perfect competition | characterized by a large number of well-informed independent buyers and sellers who exchange identical products. |
| price- fixing | an agreement among firms to charge one price for the same good |
| product differentiation | Real or imagined differences between competing products in the same industry. |
| techological monopoly | is based on ownership or control of a manufacturing method, process, or other scientific advance |
| market failure | market where any of the requirements for a competitive market- adequate comptition, knowledge fo prices and opportunities, mobility of resources, and comprtitive profits- are lacking |
| externailty | economic side effect that affects an uninvolved third party |
| negative externality | harmful side effect that affects an uninvolved third party : external cost |
| positive externality | beneficial side effect that affects an uninvolved third party |
| public goods | economic product that is consumed collectively: highways, national defense, police and fire protection |
| trust | illegal combination of corporations or companies organized to hinder competition |
| price discrimination | illegal practice of charging customers different prices for the same product |
| cease and desist order | ruling rewuiring a company to stop an unfair business practice that reduces or limits competion |
| public disclosure | requirement forcing a business to reveal information about its products or its operations to the public |
Combine with other sets
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