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Q: retail outlets operate in which of the following market structures
A: We know that all firms will maximize profits at the output level where mr=mc. In the real world, firms operate in a large variety of environments. [ These different environments, based on different market conditions, influence the behavior of different firms in different ways. In order to analyze this real life behavior, economists have identified characteristics that make some firms similar to
each other, and other firms different from one another. This has led to the study of firms based on four categories of market structure: perfect competition, monopolistic competition, oligopoly, and monopoly. ]
Expert answered|lgillis|Points 10|
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Asked 8/16/2013 9:50:53 PM
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