Q7Managerial Economics & Financial Accounting
Question
2 marks
Draw a chart to show different market structures.
Answer
Market structures range from perfect competition to monopoly based on the number of sellers and product differentiation.
The four main market structures are: 1. Perfect Competition (Many sellers, identical products) 2. Monopolistic Competition (Many sellers, differentiated products) 3. Oligopoly (Few sellers) 4. Monopoly (Single seller)