Compare the market structures of Perfect Competition, Monopoly, Monopolistic Competition and Oligopoly under the following headings (about 250 words).
a. number of firms in the market
b. similarity of the products sold
c. barriers to entry
Explain the term “game theory” and state which market structure experiences it the most.
Use one example of how you practise it in your own life. (About 50 words)
Explain the term “kinked demand curve” by using an example and a diagram. State which market structure it is found. (About 50 words)
Explain the term “price discrimination” and give three (3) examples of how firms practice it. (About 50 words)
State which market structure you think each of the following businesses belong to. Explain your choice.
a. Woolworth supermarket chain in your city (Melbourne/Sydney)
b. A Woolworth supermarket in a small town in country Victoria or NSW
c. A small café in Melbourne/Sydney CBD
d. Yarra Tram in Melbourne or Sydney Trains in Sydney
e. Australia New Zealand Bank
f. Academies Australasia Polytechnic
g. A small store that sells souvenirs such wallets, caps, tee-shirts, key chains in your city’s Sunday market that has many such stores
h. Iphone and Samsung in the mobile phone industry
Diagram A Diagram B
The above are diagrams of demand curves facing two firms.