Question

Title: Explain how neoclassical economist extended the economic analysis by discussing on “imperfect competition”  (John Gustav Knut Wicksell & Irving Fisher)

Answer 1

Dear Student,

In following way neoclassical economist extended the economic analysis by discussing on “imperfect competition”

The main focus of Neoclassical economists was to extend marginal analysis to market structures other than pure competition, pure monopoly and duopoly. To achive this requirement veral of the neoclassical economists took a far greater interest in the role of mone yin the economy than did the earlier marginalist.

Utility maximization is the source for the neoclassical theory of consumption, the derivation of demand curves for consumer goods, and the derivation of labor supply curves and reservation demand.

Imperfect competition is a type of market structure showing some but not all features of competitive markets. Forms of imperfect competition include:

Believe in perfect competition as a useful approximation to real markets may classify those as ranging from close-to-perfect to very imperfect.

Thank You !!