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2. Market structures
For each of the following scenarios, identify the number offirms present, the type of product, and the appropriate marketmodel. Select the matching entry for each dropdown box in thefollowing table.
Scenario | Number of Firms | Type of Product | Market Model |
|---|
A large city has lots of small shops where people can buysweaters. Each store's sweaters reflect the style of thatparticular store. Additionally, some stores use higher-quality yarnthan others, which is reflected in their price. | | | |
There are hundreds of high school students in need of algebratutoring services. Dozens of companies offer tutoring services;parents view the quality of the tutoring at the different companiesto be largely the same. | | | |
In a large city, two taxi companies own all the licenses thatthe city will grant to operate taxis. Consumers don't care whichcab company they take—if they decide it's worth taking a cab, theyflag down the nearest one. | | | |
A publishing company owns the U.S. copyright to a popular seriesof books. It is the only company with the legal right to publishthese books in the United States. |
