案例例子：伯尔克造纸公司.ppt

Uni案例：伯尔克造纸公司 Unit 6: Market Structure and Perfect Competition Market Structure and Degree of Competition Perfect Competition Short-Run Analysis of a Perfectly Competitive Firm Long-Run Analysis of a Perfectly Competitive Firm General Equilibrium of Perfect Competition Market Structure and Degree of Competition A Market consists of all the actual and potential buyers and sellers of a particular product. Market Structure refers to the competitive environment in which the buyers and sellers of the product operate. Four Types of Market Structure Perfect Competition Monopolistic Competition Oligopoly Monopoly Perfect Competition is the form of market organization in which (1)there are many buyers and sellers of a product, each too small to affect the price of the product; (2)the product is homogeneous; (3)there is perfect mobility of resources; and (4)economic agents have perfect knowledge of market condition. Monopoly is the form of market organization in which : a single firm sells a product for which there are no close substitutes. Entry into the industry is very difficult or impossible. Monopolistic Competition refers to the case where There are many sellers of a differentiated product and Entry into or exit from the industry is rather easy in the long run. Oligopoly is the case where There are few sellers of a homogeneous or differentiated product; While entry into the industry is possibly, it is not easy (as evidenced by the small number of firm in the industry). Under perfect competition,the firm is a price taker Firm’s behaviors under perfect competition Max ? = TR ?TC, the first order condition: Short-Run supply curve of a firm under perfect competition P = MCi ? Si = Si(p) = MC-1(p); Si(p) = Short-Run supply curve Short-Run market supply curve Long-Run Analysis of a Perfectly Competitive Positive profit Long-Run Analysis of a Perfectly Competitive In long-run: most efficient firms remain with lowest cost a