Characteristics Perfect Monopolistic Oligopoly Monopoly

Competition Competition
Number of Many Many but not Few One
firms as many as (2<X<20)
Perfect
competition
Type of Homogenous Slightly Homogenous Unique
product (same/ differentiated or slightly
standard differentiated
product)
Entry and Free Easy Difficult Difficult
exit
Market Price Taker Price Price Price
power maker/searche maker/searche maker/searc
r r her
Demand Horizontal Downward Downward Downward
curve Sloping Sloping (have Sloping
kink at the
DD curve)
Elasticity Perfectly Elastic Between Inelastic
elastic Ed>1 elastic and Ed<1
Ed=∞ inelastic
(above point k
elastic, below
point k
inelastic)
Distinguish between market structure