Question

For each type of the four market structures, list one type of market/brand that satisfies or as closely satisfies this market structure. Provide reasoning for your choices. (Be sure to provide one example for each structure type.)

Originality will be considered in grading

Answer 1

Perfectly competitive- mainly agricultural products as they are homogeneous goods and all the farmers will produce the same type of goods such as vegetables, cornflakes etc

Oligopoly - oligopoly have differentiated goods and few sellers so the goods which mainly comes in this market structure are goods which require high setup costs such as automobiles and the cell phone services companies such as AT&T and Verizon

Monopolistic competition- they have features of both perfect competition and monopoly and the examples are restaurants and hotels which have high competition between the firms and differentiate in their goods and services.

Monopoly-a monopoly is a firm which is usually the sole seller of the good in a market capturing the majority of the market share and provides a unique good which has no other close substitutes examples are Utility companies which provide electricity and water as they are given the exclusive rights to provide these goods.