Chapter Thirteen.pptVIP

Chapter Thirteen Oligopoly and Monopolistic Competition 焦點新聞---TVBS 2008/03/30 17:53 朱詠薇 3月份虧80億！中油凍漲「虧」大了 凍漲機制，讓中油光是3月份就虧損80億，擔心油庫撐不到520，中油高層下星期將向經濟部提出報告，目前許多台塑加盟業者，還在苦撐，打著不漲價的廣告，但星期一台塑加盟業者將開會商討，決定是否跟進調漲價格，擔心客源流失，這些台塑加盟業者不排除發動抗爭。 Oligopoly and Monopolistic Competition Oligopoly A small group of firms in a market with substantial barriers to entry Cartel A group of firms that explicitly agree to coordinate their activities Monopolistic competition A market structure in which firms have market power but no additional firm can enter and earn positive profits Oligopoly and Monopolistic Competition In this chapter, we examine eight main topics Market structures Game theory Cooperative oligopoly models Cournot model of noncooperative oligopoly Stackelberg model of noncooperative behavior Comparison of collusive, Cournot, Stackelberg, and competitive equilibria Monopolistic competition Bertrand price-setting model Market Structures Markets differ according to the number of firms in the market, the ease with which firms may enter and leave the market, and the ability of firms in a market to differentiate their products from those of their rivals. Table 13.1 Properties of Monopoly, Oligopoly, Monopolistic Competition, and Competition Game Theory Strategy A battle plan of the actions a firm plans to take to compete with other firms Game Any competition between players (firms) in which strategic behavior plays a major role Game Theory We can think of oligopolies as engaging in a game, which is any competition between players (such as firms) in which strategic behavior plays a major role. Game Theory Game theory A set of tools that economists, political scientist, political scientists, military analysts, and others use to analyze decision-making by players that use strategies Game Theory When is an oligopolistic market in equilibrium? John Nash (1951), a Nobel Prize-winning economist and mathematician, defined an oligopolistic equilibrium: No firm wants to change its s