1a) What are the characteristics of a Perfectly Competitive Market?
1b) What are the Characteristics of a Monopoly?
1c) Discuss why the demand curve faced by a Perfect Competitor is assumed to be perfectly elastic and that of a Monopolist less elastic.
Numerous buyers and sellers
Consumers have perfect information about prices
All firms, incumbent and potential entrants alike, have equal access to resources
One firm in the industry
There are no close substitutes for the product
Entry of new firms is not feasible
1c) The ...