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Andre45 [30]
4 years ago
7

Why do most markets in the real world fall somewhere between perfect competition and monopoly?

Business
1 answer:
REY [17]4 years ago
8 0

Answer:

When you let people in the market to freely compete with one another without any restriction, eventually there will be a sole winner who stand in the top of the competition.

When this happen , that sole winner will gradually accumulate wealth and the production process that it structured will become more efficient. This made that winner able to produce the product with really low price and expanded the operation using the gained wealth.

This will make it really hard for newcomers to compete with the existing winner. Eventually, the winner will takes it all and monopoly or  will naturally formed (or at least that winner will own majority of the market)

Perfect competition is an effort that people consciously do in order to prevent monopoly. They strictly regulated the competition to ensure that there no difference in price and types of products.

To put it simply, if we try to let free market take it course by itself, monopoly tend to unavoidable. If we try to restrict it without freedom to compete, we technically form a perfect competition.

This is why most markets in the real world fall somewhere between perfect competition and monopoly

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If oligopolists engaged in some sort of collusion, industry output would be _____ and price would be _____ than under perfect co
TEA [102]

Answer:

If oligopolists engaged in some sort of collusion, industry output would be smaller_____ and price would be _higher____ than under perfect competition.

8 0
3 years ago
Two athletes of equal ability are competing for a prize of $10,000. Each is deciding whether to take a dangerous performance-enh
Degger [83]

Answer:

a) attached below.

b) for $x < $5000 will cause taking the drug to be part of the Nash equilibrium

c) will make the athletes feel better because the value their payoff will increase

Explanation:

<u>a) 2 * 2  payoff matrix  describing the decision faced by the athletes </u>

attached below

when both players take the drug the payoff for each player = $5000 - x

when neither player  takes the drug the payoff for each player = $5000

When only one player takes the drug his payoff = $10000 - x

<u>b) If we consider the value of $x to be involved in the Nash equilibrium then </u>

; $5000 - $x > 0  becomes the best response

hence for $x < $5000 will cause taking the drug to be part of the Nash equilibrium

c) Lowering the negative effect of the drug ( i.e. when the value of x is reduced )

will make the athletes feel better because the value their payoff will increase

5 0
3 years ago
A licensee who assists one or more parties through a transaction without being an agent for any party to the transaction is a(n)
tino4ka555 [31]

A licensee who assists one or more parties through a transaction without being an agent for any party to the transaction is a <u>Statutory broker.</u>

<h3>What is a Statutory broker?</h3><h3 />

A statutory broker refers to a broker or a salesperson that is able to assist the parties in a transaction even though they are not an agent for either of the parties in the transaction.

Statutory brokers have regulations that they must follow however and in certain states, they need to be residents of a state.

Find out more on brokers at brainly.com/question/17085854

#SPJ1

7 0
2 years ago
Adam and Jose are attempting to identify the bundle of product features most likely to attract customers. Jose argues that they
vladimir1956 [14]

Answer:

Conjoint study

Explanation:

A conjoint study is also known as Conjoint analysis, it is a form of market survey or market research that helps a business to know how people interacts with their product and services based on the product's features, functions and benefits.

Conjoint study;

i. Helps to determine the preference level of an individual.

II. It also helps to determine realistic choices of customers or shopping task.

III. Helps to evaluate the psychological factors that consumers use when evaluating different features together.

3 0
3 years ago
Roberta santos, age 41, is single and lives at 120 sanborne avenue, springfield, il 60781. Her social security number is 123-45-
viktelen [127]

The divorce decree provides that roberta is to pay state income tax.

<h3>What is state income tax?</h3>

In addition to the federal income tax collected by the United States, the majority of individual states in the United States collect a state income tax. Some municipal governments also levy an income tax, which is frequently based on state income tax calculations. Individual income taxes are levied in 42 states and many localities around the United States.

The federal government collects federal income taxes, whereas individual states collect state income taxes where a taxpayer lives and generates income.

A state income tax is a direct tax imposed by a state on income produced within or outside of the jurisdiction. It may mean all of your money earned anywhere in your state of residence. Like federal tax, state income tax is self-assessed, which means taxpayers file required state tax returns

To know more about state income tax follow the link:

brainly.com/question/1775528

#SPJ4

5 0
1 year ago
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