level: Managerial Economics PRE-MASTER NNBS 6
Questions and Answers List
level questions: Managerial Economics PRE-MASTER NNBS 6
| Question | Answer |
|---|---|
| monopoly | single firm in the industry |
| monopolistic competition | a market structure that is a hybrid between competition and monopoly. there are multiple firms that produce similar products. |
| oligopoly | only a few firms produce most of the output |
| Nash equilibrium | when each firm is doing the best it can, given the actions of its rivals given the action of one firms, the other firm has the incentive to deviate. |
| prisoners' dillema | even when firms are free to cooperate, effective cooperation is not always easy to achieve. individual firms have incentives to deviate from agreed-on outputs and prices. |
| cartel | formal agreements to cooperate in setting price and output levels. |