Monopoly, Oligopoly, and Cartel

Monopoly, Oligopoly, and Cartel William J. Ravert Jr. American Intercontinental University Unit 2 Individual Project BUS610 political economy for the Global jitney October 14, 2012 Abstract This research paper entails the differences between monopolies, oligopolies, and cartels. This explains what from each angiotensin converting enzyme of them is, and what separates them from each another(prenominal). This discussion also includes the game theory or oligopolies and cartels. The stinting purpose of the OPEC has also been included in this paper. Monopoly A monopoly is a single company that has complete declare over a specific harvest-time or armed service that involves higher(prenominal) prices and the unfitness to respond to the needs of the consumer. This also is explained as blameless emulation as there are no other competitors allowing the monopoly to stomach maintain over the pricing. This practice has been outlawed at heart the linked States by the antitrust laws that were put in place. An archetype of a monopoly would be a general utility company. Although a public utility company could be classified as a monopoly, their marketing plans and prices they charge must fork out the eulogy of the presidency (All Business, 2012).

Oligopoly An oligopoly is a situation in which a handsome pigeonholing of companies produce the control over the supply of a product or service and therefore are fitting to control market price. The two types of oligopoly are perfect, where all parties have the very(prenominal) product or service, and imperfect, where the invol ved companies have the product or service bu! t have a different identity. Examples of these would be the product of cement for the perfect oligopoly and cigarettes for the imperfect oligopoly (All Business, 2012). Cartel A cartel is a group of companies or even countries that have an arrangement to regulate the production of a product or service and in turn are able to control the pricing. The most notable example of a cartel is the placement of oil Exporting Countries (OPEC). This group has the ability...If you want to get a effective essay, order it on our website: OrderCustomPaper.com

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