Optimal Prize, Deadweight Loss, Patents, Consumer Surplus, Market Shares, Cartel Detection, Government Research, Patents Duration, Tie-in Sales, Auction Types, Two-part Tariff, Bertrand Model, Cournot Model, Oligopoly Assumptions, Quota Impact, Cartel...
Deadweight Loss
The loss of economic efficiency in a market
Net Social Benefit
The overall benefit to society after accounting for costs
Market Shares
The percentage of total sales in a market held by a specific firm
Inventor
The person who creates a new invention
Prices Fluctuate Independently
Prices in the market do not change in relation to each other
Dominant Firm
A firm that has a significant market share compared to its competitors
Monopolist
A firm that is the sole provider of a good or service
Supply Curve
A graphical representation of the relationship between price and quantity supplied
Cartel
A group of firms that collude to restrict competition
Quota
A limit on the quantity of a good that can be imported or produced
Tax
A mandatory financial charge imposed by the government
Monopoly Market
A market structure with a single seller
Monopoly
A market structure with a single seller and no close substitutes
Perfect Competitive Market
A market structure with many buyers and sellers
Perfect Competition Model
A market structure with many buyers and sellers, producing identical goods
Duopoly
A market with only two firms
Elasticity of Demand
A measure of how responsive quantity demanded is to a change in price
Price Elasticity of Demand
A measure of how responsive quantity demanded is to a change in price
HHI Index
A measure of market concentration
Cournot Model
A model of competition where firms choose output quantities
Bertrand Model
A model of competition where firms set prices
Stackelberg Model
A model of competition where one firm sets output before the others
Natural Monopoly
A monopoly that arises due to economies of scale
Uniform Pricing
A pricing strategy where all customers are charged the same price
Two-Part Tariff
A pricing strategy where consumers pay a fixed fee plus a per-unit price
Auction
A public sale where goods or services are sold to the highest bidder
First-Price (Sealed-Bid) Auction
An auction where the highest bidder wins and pays their bid
Second-Price (Sealed-Bid) Auction
An auction where the highest bidder wins but pays the price of the second-highest bid
Dutch Auction
An auction where the price starts high and decreases until someone accepts
English Auction
An auction where the price starts high and decreases until someone accepts
United States Patents
Exclusive rights granted to inventors in the United States
Trademarks
Exclusive rights to a brand or logo
Copyrights
Exclusive rights to artistic, dramatic, literary, or musical work
Patents
Exclusive rights to artistic, dramatic, literary, or musical work
Detection of Cheating for Cartels
Factors that aid in identifying collusion among firms
Cartels
Groups of firms that collude to restrict competition
Oligopoly Models
Models of competition with a small number of firms
Barriers to Enter the Market
Obstacles that make it difficult for new firms to enter a market
Senior Citizens
People of old age, usually above a certain age threshold
Government Regulations
Rules and laws imposed by the government
Simultaneous Output Choice
The act of firms in a market choosing their output levels at the same time
Marginal Revenue
The additional revenue generated from selling one more unit of a good
Marginal Cost
The cost of producing one additional unit of a good
Consumer Surplus
The difference between what a consumer is willing to pay and what they actually pay
Cost of Research
The expense for a firm to conduct research
Optimal Number of Firms
The ideal quantity of firms for government-sponsored research
First Person to File for the Patent
The individual who submits the patent application first
Social Benefit
The positive impact on society from a particular action
Price Discrimination
The practice of charging different prices to different customers
Tie-In Sales
The practice of selling one product as a condition for purchasing another
Optimal Prize
The prize set by the government for 5 firms to find a cure
Chance to Find the Cure
The probability of finding the cure when 5 firms are in the market
Geographical Location
The specific area or region where something is located
Social Cost
The total cost to society of a market not operating efficiently
Producer's Revenues
The total income received by a producer from selling a good
Social Welfare
The well-being of society as a whole
