Characteristics- Type of imperfect competition such that many producers sell products that are defferentiated from one another.
Advantges- No sigificant barriers to enter or exit the market, Creates diversity in the market.
Disadvantges- Creates unnessacry waste
Examples- Toothpaste, toilet paper and other toiletries.
Characteristics- Is a market form in which a market or industry is dominated by a small number of sellers.
Advantges- Companies have full control of their prices. Lowers the average price of goods.
Disadvantges- New firms can't enter the market due to spefic barriers.Companies may not improve their products due to little competition.
Examples- Movie studies, Wireless phone providers.
Advantges- Avoids duplication of products, profits can be used for research and development and can invest in new technology to aviod competiton.
Disadvantges- Poor level of service, no consumer soverignty and charged with high prices for low quality products.
- Natural- type of monopoly that exists as a result of the high fixed or start-up costs of operating a business in a particular industry. I.E : Sewage, Public utilities.
- Geographic- Occur when one company offers goods in that region or aera. I.E: Super markets, Eletrical companies.
- Technological- occur when the good or service the company provides has legal protection in the form of a patent or copyright for a invention or type of manaufacturing method. I.E: Pharmacuteicuals, technological companies.
- Government- a government will pass laws reserving a specific trade, product or service for government agencies. I.E: USPS, Public Schools and Cable Service.
- Sources: ehow, investopia, econ.yale.edu
- Hyperlinks- http://www.ehow.com/list_5972946_types-monopolies-... , http://www.investopedia.com/university/economics/economics6.asp