Question

Below is a recommended topic for this discussion. If your instructor chooses a “Making the Connection” from this weeks’ readings or another alternate discussion topic, his or her chosen topic and any required work in MyEconLab or elsewhere will be in the instructors’ first posting.

Review and chose a firm of your choice or one provided by your instructor. Is this firm a monopoly? In what ways could it be considered a monopoly? What markets are involved? What antitrust legislation would apply? Is antitrust legislation fair to your chosen firm? Why or why not?

Answer 1

1: Data incomplete

2: Perfect market characterises perfect competition, a market structer which is based on following characterstics:

Perfect market information
No participant with market power to set prices
Non intervention by governments
No barriers to entry or exit
Equal access to factors of production
Profit maximization
No externalities

It uses the word perfect because these characterstics are pillars of a ideal market where anybody and everybody can buy or sell without any problem or barriers.