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Because monopolistically competitive firms have an optimal production allocation at monopoly values: marginal revenue = marginal cost, marking-up to the demand function. When competition is not perfect, marginal revenue does not equal demand but is always below it on a Cartesian plane, so the optimal production value of a monopolistically competitive firm is both less and at a higher price than a perfectly competitive one.
Monopoly, Oligopoly, pure competition and monopolistic competition
oligopoly
Oligopoly!
Oligopoly
wal mart is considered to be an oligopoly. It can't be considered a monopoly because it isn't the sole company in its market.It has competition such as target. The only way Wal-Mart is a monopoly is in their low prices in which no one can beat.
There may be a case for government, the welfare consequences of monopoly, duopoly or oligopoly.
In a monopoly, the monopolist company is the only product in the market place. However, a company competing in a monopolistically competitive market has multiple "similar" competitors that all try and differentiate themselves with specialized or additional services; i.e. the Italian restaurant serving food only from northern Italy. These companies may be a monopoly in the sense that their niche product is one-of-a-kind, but there are substitute products that can replace them if their price becomes too high to the consumer. As a result, the firm in a monopolistically competitive has a more elastic demand than a true monopolist.
Homogeneous products are in a monopoly, oligopoly, monopolistic, monopoly and pure competition according to economics. for the purpose of analysis.
Oligopoly
Online auctioning is an example of Pure Competition. Here are some examples of the others: Monopoly - Sewer Service Monopolistic Competition - Video Rental Oligopoly - Digital Cameras
oligopoly, monopoly, and pure competitonMonopoly, Pure competition, Oligopoly