Economics Unit 3 - Business and Market Structures

Group of people who pool their money to buy and sell more effectively than they can alone.

A standardized product is one that is identical regardless of supplier.

Which of these is NOT a barrier to entry into a market?

This monopoly occurs when there are no other producers in an certain area

What kind of monopoly are the Denver Broncos?

Which of these is non-price competition?

What organization enforces antitrust laws in the US?

This monopoly occurs in economies of scale, or when cost of production is lowest with one producer

An agreement between a parent company and an individual that allows the individual to sell the company's product

What is a Corporation?

Organizations that participate in charitable, humanitarian, culture, or eductational activities without a profit motive

A company controls every stage of the steel production process, from mines to refineries to mills to retail sales.

Market Structure: Few sellers that work together, similar products, some price control and substantial barriers to entry

Partnership where all members are equal partners in the business, share in the profits/losses

Perfect Competitions are "price makers" meaning they can control their prices of their own products

What is a Partnership?

Market Structure: One seller, unique product, total price control, and insurmountable barriers to entry into the market.

A differentiated product is one that is similar to another product, but with some physical differences.

Public Corporations have their stocks traded on the stock market.

A sum of money from a company's profits that are paid regularly to shareholders

What kind of monopoly is Alabama Power?

Private Corporations have their stocks traded on the stock market.

What kind of monopoly is the United States Postal Service?

Monopolies are "price makers" meaning they can control their prices of their own products

This monopoly occurs when the government runs a business, or authorizes only one producer

Business with limited liability and single business income taxation

Partnership where at least one partner is not responsible for running the business, only responsible for investment

Market Structure: Many sellers, differentiated products, limited price control, and low barriers to entry n2 the market.

A company buys every car dealership in Birmingham.

What is a Sole-Proprietorship?

This monopoly occurs when a firm controls a manufacturing method, invention, or other innovation.

What kind of monopoly occurred when Thomas Edison patented the light bulb?

What piece of legislation outlaws trusts and monopolies in the United States?

A share of a company held by an indiviual that entitles the shareholder to partial ownership of the corporation

Market Structure: Many sellers, identical products, no price control, and no barriers to entry into the market.