Match each of the terms on the left with its definition on the right. Click on the term first and then click on the matching definition. As you match them correctly they will move to the bottom of the activity.
Barrier to entry Monopoly Perfect price discrimination Patent Copyright Market power Price discrimination Public ownership Price regulation Natural monopoly Single-price monopolist Monopolist Average cost pricing Network externality Marginal cost pricing | a temporary monopoly given by the government to an inventor for the use or sale of an invention. charging different prices to different consumers for the same good. the exclusive legal right of the creator of a literary or artistic work to profit from that work; like a patent, it is a temporary monopoly. an industry controlled by a monopolist. a limitation on the price a monopolist is allowed to charge. the price discrimination that results when a monopolist charges each consumer the maximum that the consumer is willing to pay. a form of price regulation that forces a monopoly to set its price equal to its average total cost. something that prevents other firms from entering an industry. Crucial in protecting the profits of a monopolist. There are five types of barriers to entry: control over scarce resources or inputs, increasing returns to scale, technological superiority, network externalities, and government-created barriers. a monopoly that exists when increasing returns to scale provide a large cost advantage to having all output produced by a single firm. a monopolist that offers its product to all consumers at the same price. a firm that is the only producer of a good that has no close substitutes. the increase in the value of a good or service to an individual is greater when a large number of others own or use the same good or service. the ability of a producer to raise prices. a form of price regulation that forces a monopoly to set its price equal to its marginal cost. the case in which goods are supplied by the government or by a firm owned by the government to protect the interests of the consumer in response to natural monopoly. |