VOCABULARY. acquisition n – приобретение

acquisition n – приобретение

challenger n – претендент

competition n – конкуренция, соревнование

monopolistic ~ – монополистическая конкуренция

nonprice ~ – неценовая конкуренция

pure ~ – чистая конкуренция

facilities n – средства, оборудование

follower n – последователь, сторонник

growth n – рост, увеличение

household n – дом, домашнее хозяйство

increase v – увеличивать, расти

limited adj – ограниченный

market n – рынок, сбыт

monopoly n – монополия

oligopoly n – олигополия

price n – цена

premium ~ – дополнительная цена

pricing n – ценообразование

competitive ~ – конкурентное ценообразование

cost-plus ~ – ценообразование по принципу «издержки плюс прибыль»

value ~ –

produce v – производить

product n – продукт

differentiated ~ – дифференцированный продукт

standardized ~ – стандартный продукт

production n – производство

reduce v – уменьшать, снижать

reduction n – спад

restriction n – ограничение

artificial ~ – искусственное ограничение

standardized adj – стандартный

stipulate v – обусловливать

substantial adj – значительный, существенный

~ barrier – существенный барьер

substitute n – заменитель

close ~ – близкий заменитель

sufficient adj – достаточный

GLOSSARY

· Monopoly is a single seller facing the entire industry demand curve. The monopolist sells a unique product, and extremely high barriers to entry protect it from competition.

· Barriers to entry that prevent new firms from entering an industry are (1) ownership of an essential resource, (2) legal barriers, and (3) economies of scale. Government franchises, licenses, patents, and copyrights are the most obvious legal barriers to entry.

· Monopolistic competition is a market structure characterized by (1) many small sellers, (2) a differentiated product, and (3) easy market entry and exit. Given these characteristics, firms in monopolistic competition have a negligible effect on the market price.

· Oligopoly is a market structure characterized by (1) few sellers, (2) a homogeneous or a differentiated product, and (3) difficult market entry.

· Oligopolies are mutually interdependent because an action by one firm may cause a reaction from other firms.