Advertisements
Advertisements
Questions
Give three points of difference between perfect competition and monopoly.
Discuss three differences between a perfectly competitive market and a monopoly.
Advertisements
Solution
| Sr. No. | Basis | Perfect competition | Monopoly |
| 1. | No. of sellers | There are very large number of sellers in the market. | There is a single firm in the market. |
| 2. | Price | There is a single firm in the market. | There is a single firm in the market. |
| 3. | Nature of product | Each firm produces and sells homogeneous product. | The firm produces and sells such product which does not have close substitutes in the market. |
Notes
Students should refer to the answer according to their questions.
RELATED QUESTIONS
When products are differentiated on the basis of advertisements, brand names etc., it is called as ______.
In monopolistic competition, there are ______.
Read the given statements carefully and select the correct option.
- The number of sellers under oligopoly are small.
- In monopolistically competitive markets, buyers and sellers have perfect knowledge about the market conditions.
State two important characteristics of monopoly.
Identify the market form of the following:
Goods sold are homogeneous.
State the market form of the following commodity.
Shampoos
Which type of market structure is the following? Give reason.
Ball-pen
What is the difference between collusive and non-collusive oligopoly?
Why an individual firm under perfect competition cannot influence the market price?
In which type of market are firms interdependent and a few large firms dominate?
