Economics for dummies
Question:
If you're married to one person, that's called monogamy; to two persons, bigamy; to many persons, polygamy. Now drawing a parallel to economics- if one firm dominates a particular industry, you call that a monopoly; similarly if two firms dominate, that's a duopoly. If there are many firms in an industry so that no particular firm/firms dominate, this market condition is called (____poly). <== fill in the blanks. Ha! I BET 'polypoly' was on the tip of your tongue but you realised soon enough how stupid that sounded, and stopped yourself juuuuuust in time right??
The correct answer is oligopoly, by the way. (=
[Edit] An oligopoly is a market condition where a few firms dominate. The last one I described above was a perfectly competitive market... To self: Sheesh, May! How to sit for econs exam like this??
If you're married to one person, that's called monogamy; to two persons, bigamy; to many persons, polygamy. Now drawing a parallel to economics- if one firm dominates a particular industry, you call that a monopoly; similarly if two firms dominate, that's a duopoly. If there are many firms in an industry so that no particular firm/firms dominate, this market condition is called (____poly). <== fill in the blanks. Ha! I BET 'polypoly' was on the tip of your tongue but you realised soon enough how stupid that sounded, and stopped yourself juuuuuust in time right??
The correct answer is oligopoly, by the way. (=
[Edit] An oligopoly is a market condition where a few firms dominate. The last one I described above was a perfectly competitive market... To self: Sheesh, May! How to sit for econs exam like this??
Labels: imperialcollege, thinkingoutloud
posted by may at 6:00 AM
3 Comments:
Urm... I actually thought it was "monopoly"... guess I'll have to take an econs 101 class then...
"If there are many firms in an industry so that no particular firm/firms dominate, this market condition is called (____poly)."
Hmm.. Isn't it "monopolistic"? An oligopy is where a few firms dominate... like digi and maxis and celcom (or voda and optus and what not).. and monopolistic is like kai fan stalls all over the place and no one dominates.. hee
i loved economics, although i quite sucked at it.. lol
"Oligopoly
When a particular market is controlled by a small group of firms.
An oligopoly is much like a monopoly, in which only one company exerts control over most of a market. In an oligopoly there are at least two firms."
Okay so I was wrong about the industry not being dominated by any firms - that's a perfectly competitive market, mayyyyyy!!!! *smacks herself* oh dear, debbie did you have to do this to me right on the day of my econs final exam?!? Hahaha. but no, your kai fan one is a perfect competition, defo not monopoly, hehe
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