Chapter 7 and 13

A market structure where there is a large amount of non-price competition

• Perfect competition
• Monopolistically competitive
• Oligopoly
• Monopoly 

A small number of firms have the majority of market share

• Oligopoly 
• Monopolistically competitive
• Perfect comptetion
• Monopoly

The litmus test for perfect competition is....

• Coffee is coffee is coffee
• An apple is an apple is an apple
• A kiwi is a fruit
• Why are we talking about produce?

Which are barriers to entry?

• Startup cost and Technology
• Money and a Wall
• A fence and a Loan
• Only cost is a barrier to entry

Characteristics, Location, level of service, and advertising are examples are what?

• Barriers to entry
• Deregualtion
• Money
• Non-price competition

Why does the government grant monopolies? 

• It would be inefficient to have multiple agencies competing within the market area
• To allow for compensation to innovation
• The government cannot grant monopolies 
• Because they regulate both the effiency and give patents for inventions

The reduction or elimination of government influence, usually enacted to create more competition within the industry

• Deregulation
• Antitrust laws
• Non-price competition
• Perfect competition

Asset

• Any item of economic value owned by an individual or corporation, especially that which could be converted to cash
  
• good or material bought and sold freely (agricultural products, fuels, and metals)
  
• a way to reduce risk in a financial portfolio by making a variety of different investments that have low correlations with each other
  
• a financial institution licensed to receive deposits and make loans
  

Which has higher liquidity?

• Bicycle 
• Monet painting

Which item has more liquidity?

• Bicycle 
• Monet painting