Say It! Do It!
INTRODUCTION It is a science which studies human behaviour as a relationship between ends and scarce means which have alternative uses. Human wants are insatiable. They are endless. There are four essential economic activities which are resource maintenance, the production, distribution, and…
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Market structures There are four idealized (ideal as opposed to reality) types of market structures: Perfect competition: Many sellers in the market selling identical goods Pure monopoly: a market with only one seller and many buyers Monopolistic competition: many sellers in the…
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Theory Of Production Production: term refers to the processes during which some material thing is physically converted into something more useful – which can be consumed as a final product or used for processing of other products. Generally, production is the transformation…
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The price theory The price theory is the basis of exchange in economics. It is the study of price and its determinants. Prices are relative values of goods and services at a particular time. In a market, buyers and sellers exchange goods…
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Markets with Asymmetric information What happens when some parties in the market have more info (about a product) than others? The market is an efficient allocator, in a competitive market, when the consumer and producer have perfect information about the possible exchange….
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MONOPOLY Pure monopoly: A market that has only one seller and many buyers. Pure monopoly is rare, but in most markets only a few firms compete with each other. So we better say pure monopoly as a market that has one seller…
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