Efficiency and Market Structure (Edexcel A-Level Economics A): Flashcards
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Practise the cards
10 cards from this deck
Productive efficiency cost point
Productive efficiency cost point
Minimum long-run average cost
X-inefficiency definition
X-inefficiency definition
Operating above minimum cost due to organisational slack
Allocative efficiency condition
Allocative efficiency condition
Price equals marginal cost ()
Economist who introduced dynamic efficiency
Economist who introduced dynamic efficiency
Joseph Schumpeter
Perfect competition firm's price influence
Perfect competition firm's price influence
None - acts as a price taker
Number of firms in a monopoly
Number of firms in a monopoly
One
Number of firms in an oligopoly
Number of firms in an oligopoly
Few
Product nature in monopolistic competition
Product nature in monopolistic competition
Differentiated (similar but not identical)
Barrier to entry definition
Barrier to entry definition
Obstacle making it difficult for new firms to join a market
Static-dynamic efficiency trade-off
Static-dynamic efficiency trade-off
Efficiency today may sacrifice future efficiency gains