| A | B |
|---|
| LAISSEZ -FAIR | THE PHILOSOPHY THAT GOVERNMENT SHOULD NOT INTERFERE WITH COMERECE OR TRADE |
| MARKET STRUCTURE | THE NATURE AND DEGREE OF COMPOTION AMONG FIRMS OPERATING IN THE SAME INDUSTRY |
| PERFECT COMPETITION | COMPETITION CHARACTERIZED BY A LARGE NUMBER OF WELL-INFORMED INDEPENDENT BUYERS AND SELLERS WHO EXCHANGE IDENTICAL PRODUCTS |
| IMPERFECT COMPETION | THE NAME GIVEN TO A MARKET STRUCTURE THAT LACKS ONE OR MORE OF HTE CODITIONS OF PERFECT COMPETITION |
| MONOPOLISTIC COMPETITIION | THE MARKET STRUCTURE THAT HAS ALL OF THE CONDITIONS OF PERFECT COMPETITION EXCEPT FOR IDENTICAL PRODUCTS |
| PRODUCT DIFFERENTIATION | REAL OR IMAGINED DIFFERENCES BETWEEN COMPETING PRODUCTS IN THE SAME INDUSTRY |
| NONPRICE COMPETITION | THE USE OF ADVERTISING, GIVEAWAYS, OR OTHER PROMOTIONAL CAMPAIGNS TO CONVINCE BUYERS THAT THE PRODUCT IS SOMEHOW BETTER THAN ANOTHER BRAND |
| OILGOPOLY | A MARKET STRUCTURE IN WHICH A FEW VERY LARGE SELLERS DOMINATE THE INDUSTRY |
| COLLUSION | A FORMAL AGREEMENT TO SET PRICES OR TO OTHERWISE BEHAVE IN A COOPERATIVE MANNER |
| PRICE-FIXING | AGREEING TO CHARGE THE SAME OR SIMILAR PRICES FOR FOR A PRODUCT |
| MONOPOLY | A MARKET STRUCTURE WITH ONLY ONE SELLER OF A PARTICULAR PRODUCT |
| NATURAL MONOPOLY | A MARKET SITUATION WHERE COSTS ARE MINIMIZED BY HAVING A SINGLE FIRM PRODUCE A PRODUCT |
| ECONOMIES OF SALE | A SITUATION IN WHICH THE AVERAGE COST OF PRODUCCTION FALLS AS THE FIRMS GET LARGER |
| GEOGRAPHIC MONOPOLY | A MONOPOLY BASED ON THE ABSENCE OF OTHER SELLERS IN A CERTAIN GEOGRAPHIC AREA |
| TECHNOLOGICAL MONOPOLY | A MONOPOLY BASED ON OWENERSHIP OR CONTROL OF A MANUFACTURING METHOD, PROCESS, OR OTHER SCIENTIFIC ADVANCE |
| GOVERNMENT MONOPOLY | A MONOPOLY THE GOVERNMENT OWNS AND OPERATES |
| MARKET FAILURE | AN EVENT THAT CAN OCCUR WITH INADEQUATE COMPETITION, INADEQUATE INFORMATION, RESOURCE IMMOBILITY, EXTERNAL ECONOMIES, AND PUBLIC GOODS |
| EXTERNALITY | UNINTENDED SIDE EFFECT THAT EITHER BENEFITS OR HARMS A THIRD PARTY NOT INVOLVED IN THE ACTIVITY THAT CAUSED IT |
| NEGATIVE EXTERNALITY | THE UNWANTED HARM, COST, OR INCONVENIENCE SUFFERED BY A THIRD PARTY BECAUSE OF ACTIONS BY OTHERS |
| POSITTIVE EXTERNALITY | A BENEFIT RECIEVED BY SOMEONE WHO HAD NOTHING TO DO WITH THE ACTIVITY THAT GENERATED THE BENEFIT |
| PUBLIC GOOD | PRODUCT THAT IS COLLECTIVELY CONSUMED BY EVERYONE, AND WHOSE USE BY ONE INDIVIDUAL DOES NOT DIMINISH THE SATISFACTION OR VALUE RECIEVED BY OTHERS |
| TRUST | LEGALLY FORMED COMBINATION OF CORPORATIONS OR COMPANIES |
| PRICE DISCRIMINATION | THE PRACTICE OF CHARGING CUSTOMERS DIFFERENT PRICES FOR THE SAME PRODUCT |
| CEASE AND DESIST ORDER | A FEDERAL TRADE COMMISSION RULING REQUIRING A COMPANY TO STOP AN UNFAIR BUSINESS PRACTICE, SUCH AS PRICE FIXING, THAT REDUCES OR LIMITS COMPETITION AMONG FIRMS |
| PUBLIC DISCLOSURE | THE REQUIRMENT THAT BUSINESSES REVEAL INFORMATION TO THE PUBLIC |
