TAILIEUCHUNG - Lecture Principles of microeconomics - Chapter 15: Monopoly

In this chapter you will learn why some markets have only one seller, analyze how a monopoly determines the quantity to produce and the price to charge, see how the monopoly’s decisions affect economic well-being, consider the various public policies aimed at solving the problem of monopoly, see why monopolies try to charge different prices to different customers. | Monopoly Chapter 15 Copyright © 2001 by Harcourt, Inc. All rights reserved. Requests for permission to make copies of any part of the work should be mailed to: Permissions Department, Harcourt College Publishers, 6277 Sea Harbor Drive, Orlando, Florida 32887-6777. Monopoly While a competitive firm is a price taker, a monopoly firm is a price maker. Monopoly A firm is considered a monopoly if . . . it is the sole seller of its product. its product does not have close substitutes. 2 2 Why Monopolies Arise The fundamental cause of monopoly is barriers to entry. 3 5 Why Monopolies Arise Barriers to entry have three sources: Ownership of a key resource. This tends to be rare. De Beers is an example The government gives a single firm the exclusive right to produce some good. Patents, Copyrights and Government Licensing. Costs of production make a single producer more efficient than a large number of producers. Natural Monopolies 4 5 Economies of Scale as a Cause of Monopoly. Average .

• Kinh tế học
• Principles of microeconomics
• Lecture Principles of microeconomics
• Monopoly resources
• Government created monopolies
• Natural monopolies
• Monopoly’s revenue
• Ten principles of economics
• Scarce resources
• Scarcity implies choice
• Choice implies cost
• Thinking like an economist
• Economic models
• Circular flow diagram
• Production possibilities frontier
• The gains from trade
• Production possibilities
• Comparative advantage
• Absolute advantage
• Market forces
• Supply and demand
• Market economies
• Competitive markets
• Price elasticity of demand
• Price elasticity
• Midpoint method
• Demand curves
• Controls on prices
• Price ceiling
• Price floor
• Market outcomes
• Market failures
• Negative externalities
• Positive externalities
• Market inefficiency
• Public goods
• Common resources
• Types of goods
• Cost benefit analysis
• Tax system
• Federal government
• Marginal tax rate
• Budget surplus
• Costs of production
• Total revenue
• Total cost
• Opportunity costs
• Firms in competitive markets
• Average revenue
• Marginal revenue
• Sunk costs
• Monopolistic competition
• Nash equilibrium
• Equilibrium for oligopoly
• Game theory
• Long run equilibrium
• Perfect competition
• Production possibility frontier
• Opportunity cost
• Rational people
• Indirect effects
• Law of demand
• Factors change demand
• Law of supply
• Market demand
• Demand intersect
• Demand determine prices
• Change in demand
• Change in supply
• Elastic demand curve
• Policy analysis with supply
• Policy analysis with demand
• Wealth creation
• Production cost
• Total surplus
• International trade
• Additional benefits of trade
• Average costs
• Break even price
• Increasing marginal costs
• Long run analysis
• Firms profit graphically
• Accounting profit
• Market effectiveness
• Monopolist pricing
• Price discrimination
• Antitrust laws
• Disruptive innovation in oligopolies
• Predatory pricing