Social Studies 1201Unit 7 - IS the market system fair?

Name:

Use this handout for taking ALL of your notes as well as your performance assessment. Be prepared for random checks of your work. Make sure you use your textbook to help you

complete the work within. The date at the top of the page is for you to indicate when you have completed the work. Remember to use the WIFI whenever possible, especially when watching

the videos

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17.0 explain how the interaction of demand and supply influence the market

• A market is a place where individual buyers and sellers meet to exchange goods or services for money.

• Market also describes all the buyers and sellers for a particular good or service (Example: Car, Stock Market)

• The buyer wants the lowest price so they can keep more of their own money.• The seller wants the highest price so they can earn more money.

• When are people most likely to buy a song on iTunes - When it just came out, or when it has been around for a long time? Why?

• Which types of recreational vehicle (Quad, Skidoo, Dirt Bike) is more expensive? The newest model, or one 5 years older? Why?

• When is a movie more likely to be the most popular? When it just came out in theatres or when it just came out on DVD? Why?

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17.1 sketch simple demand curves to illustrate the effect of a change in price on the quantity demanded

law of supply The principle that producer supply is directly related to price. A price increase will increase the quantity supplied. A price decrease will decrease the quantity suppliers are willing to sell.

law of demand The principle that consumer demand is inversely related to price. An increase in price will decrease the quantity demanded. A price decrease will increase the quantity demanded

https://www.youtube.com/watch?v=LwLh6ax0zTE&t=300sDemand and Supply Explained-(MR CLIFFORD)

the amount of a commodity, product, or service available (SUPPLY) and the desire of buyers for it, considered as factors regulating its price. (DEMAND)

https://www.youtube.com/watch?v=ewPNugIqCUMDemand and Supply Explained Part 2(MR CLIFFORD)

https://www.youtube.com/watch?v=g9aDizJpd_s Supply and Demand: Crash Course Economics #4

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There are several conditions that affect the supply of a good or service:

1. The cost of producing it.2. The price consumers will pay.

Factors that increase or decrease supply:1. Change in the Number of Producers – more

producers increase supply.2. Changes in Prices – a price decrease will cause a

reduction in supply.3. Changes in Technology – reduces the cost of

production and increases supply.4. Changing Future Expectations – producers have to

predict demand and adjust supply to it.5. Changing Production Costs – lower cost resources

means you can supply more goods for the same cost.

DEMAND AND SUPPLY GRAPHSConsumers buy more as prices decrease – this can be shown with a demand curve.

Suppliers provide more as prices increase - this can be shown with a supply curve.

17.1 sketch simple demand curves to illustrate the effect of a change in price on the quantity demanded

Demand for Toques

Price in $ 10 12 14 16 18 20 22 24 26 30 32 34

36

38

40

42

44

46

48

50

Quantity demanded

190 180

170

160

150

140

130

120

110 100

90 80

70

60

50

40

30

20

10

0

See graphs below:

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17.2 analyze the actions of consumers and explain when consumers are using the substitution effect and the income effect see demand video Mr Clifford above

The substitution effect is the decrease in sales for a product that can be attributed to consumers switching to cheaper alternatives when its price rises. A product may lose market share for many reasons, but the substitution effect is purely a reflection of frugality. If a brand raises its price, some consumers will select a cheaper alternative. If beef prices rise, many consumers will eat more chicken. In general, when the price of a product or service increases but the buyer's income stays the same, the substitution effect kicks in.

How, then, does any company get away with increasing its price? In addition to the substitution effect, there's the income effect. That is, some of its customers may be enjoying an increase in spending power and are willing to buy a pricier product.

A company's success in repricing its product is determined in part by how much of the substitution effect is offset by the income effect.

As noted, when a product price increases consumers tend to drop it for a cheaper alternative. The can turn into an endless game of supply and demand. Steak prices rise, so consumers substitute pork. Demand for steak declines, so its price drops. Consumers return to buying steak.

This does not mean only that consumers chase a bargain. Consumers make their choices based on their overall spending power and make constant adjustments based on price changes. They strive to maintain their living standards despite price fluctuations.

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17.3 sketch simple supply curves to illustrate the effect of a change in price on the quantity supplied

u A change in the quantity supplied is a movement along the supply curve.

u At the price of $10, the quantity supplied = 16.

u An increase in supply is a rightward shift in the entire curve.

u More is supplied at every priceu At the price of $25, the quantity supplied =

36 after the increase.

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u A decrease in supply is a leftward shift in the entire curve. u Less is supplied at every price.u At the price of $25, the quantity supplied = 21 after the decrease.

Watch the video Shifting Demand and Supply- 

https://www.youtube.com/watch?v=V0tIOqU7m-c

QR code on the right

17.4 analyze the actions of producers and explain how producers are motivated by profit and seek to maximize their return on investment

Given that one of the primary aims of a business is to maximize profit, business will invest in the production of goods and services where their return on investment (ROI) is highest. All things being equal, if the ROI for widget “A” is $1 and the ROI on widget “B” is $2, a business is likely to invest more of its resources in the production of widget “B”.

Within the Social Studies program, this is students’ first formal introduction to the concept of profit. Therefore, part of this discussion should include examination of what constitutes profit:

Note: Cost of good or service would include materials, production costs, marketing, etc.

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17.5 calculate the profit for a given product or service See page 183 Power and Change

Why does Beth not sell her case’s for $1 and $2 each? Why does Beth not sell her cases for $3 each? Why does Beth not sell her cases for $4 each? Based on this chart, what price should Beth sell her cases for? Thinking outside of the box, what would happen if she sold her cases for $20? How about $100?

The simplest formula is: total revenue – total expenses = profit. 

Profit is calculated by deducting direct costs, such as materials and labour and indirect costs (also known as overheads) from sales.

Question – All things being equal, how many cases would Beth choose to supply? Answer – 60 cases, as she will earn the maximum amount of profit

Question – How many cases should Beth supply? Answer – As many as she can sell.

https://www.youtube.com/watch?v=a0nUWrnuUdoTypes of Profit- Microeconomics Topic 3.4

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EXAMPLE: Grape Farming

SITUATION

PRICE SOLD (per pound)

QUANTITY PRODUCED (pounds)

POSSIBLE REASONING FOR INCREASE IN QUANTITY SOLD

A $1.00 1000

B $2.00 2000 Decided to buy new land.

C $3.00 2500 Decided to get more workers.

D $4.00 2750 Decided to use better technology.

● The most important aspect for the grape farmer is to make as much profit as possible.● Profit is how much money the producer gets from selling a good/service after taking

into account the cost of making that good/service.● Example: For grape farming, the costs could include the price of the land being used,

water, labour, transportation, pesticides, etc.

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QUESTION: If it costs 0.75$ to produce 1 pound of grapes, calculate the total profit for each situation.

17.6 analyze scenarios and identify the equilibrium point, noting the optimal selling price and optimal quantity to be supplied

The point at which the supply and demand curves meet is the equilibrium price.

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SITUATION

PRICE SOLD (per pound)

QUANTITY PRODUCED (lbs)

AMOUNT OF PROFIT (/lb)

TOTAL PROFIT

A $1.00 1000

B $2.00 2000

C $3.00 2500

D $4.00 2750

Equilibrium refers to the point at which the forces of demand and supply are balanced and the use of resources is maximized and waste is minimized. In other words, when the quantity demanded is equal to the quantity supplied: - every consumer is able to meet his or her need / want, and - every producer is able to provide enough of its product / service without any inventory remaining (waste).

Example 5 – The point of equilibrium.

Further analysis of the concept of equilibrium is needed to help students understand the effects of setting price both above and below the point of equilibrium.

https://www.youtube.com/watch?v=7eZcPs9z9OAThe Equilibrium Price and Quantity

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17.7 analyze scenarios and explain the effects felt by consumers and producers when price is set (i) above or (ii) below equilibrium

Setting a price above equilibrium will result in a surplus of goods (i.e., unsold goods). Therefore, resources are wasted which could have been used to meet other needs / wants.

Example 6 (left) – The effect of setting price above the point of equilibrium

Setting a selling price below equilibrium will result in a shortage of goods. Therefore, some consumers will not be able to meet their needs / wants.

Example 7 (below) – The effect of setting price below the point of equilibrium.

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17.8 understand and correctly use relevant terminology:

discretionary income,

equilibrium,

income effect,

law of demand,

law of supply,

profit,

profit maximization,

return of investment (ROI),

shortage,

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substitution effect,

surplus

18.0 explain how change in demand and change in supply influence the market 18.1 analyze scenarios and explain (using text and simple graphs) how one or more non-price factors can influence demand

This is not an exhaustive list

Demand for a good or service can increase (or decrease) for several reasons:

- change in consumer behaviour – as a good or service becomes more (or less) popular, consumer demand will change proportionately; for example, as people become more concerned about healthy eating, the demand for unhealthy fast foods will likely decrease

- change in income – wages may increase (or decrease), providing consumers with more (or less) money to spend on a good or service; for example, if workers receive a pay increase, they will likely purchase more of a good or service

- change in population – an increase (or decrease) in population in a particular area will result in increase (or decrease) in the demand for goods and services; for example, as the population of the Avalon Peninsula increases, it results in greater demand for houses

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18.2 illustrate (using text and simple graphs) how a non-price factor can influence demand Example 1 – The effect of a wage increase on the demand for and supply of cars.

18.3 analyze scenarios and explain (using text and simple graphs) how one or more non-price factors can influence supply

Supply of a good or service can increase (or decrease) for several reasons:

- change in the cost of production – when a good or service becomes less expensive to produce, more is normally created for the same investment and vice versa; for example, this happens frequently when improvements in technology result in lower production costs, allowing producers to create more of the good or service for the same investment

- change in number of producers – new producers may be attracted to (or dissuaded from) a market with an expectation of earning (or losing) profit, thus increasing (or decreasing) the overall supply of the good or service; for example, during the 2010s the number of producers of speciality cakes increased, attracted by the potential for profit

- change in the physical environment – interactions with nature can result in increased (or decreased) resource availability which will impact supply; for example, the decline in the North Atlantic Cod stock (late 1980s to early 2000s) has led to a reduction in the supply of cod and a corresponding increase in price

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18.4 illustrate (using text and simple graphs) how non-price factors influence supply

Example 2 – The effect of a decrease in the supply of cod.

18.5 analyze scenarios and explain the responsiveness of the market to change in demand and change in supply over time

There are many other similar examples of how the market place is dynamic. Plenty in consumer electronics for sure!

Case Study - The Personal Computer

- The demand for personal computers (PCs) increased after they were introduced in the 1980s. - In 1982 a PC cost more than $5000. - However, by 2017 a (much more powerful) PC would cost less than $500. - If an increase in demand leads to higher prices, why has the price of PCs declined over time? - There are two factors that help to explain the decline in price: - more PC producers entered the market place, thus increasing supply, and - the cost of production decreased, enabling producers to manufacture more PCs for the same investment

Could you find a similar example? Describe below

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18.6 understand and correctly use relevant terminology:

change in demand,

change in supply,

consumer behaviour,

cost of production,

non-price factor(s)

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19.0 explain how elasticity influences the market You just explored the relationship between demand and supply. However, in all those cases we only considered simple examples with unitary relationships: a change in one area (e.g., demand) results in equal change in another area (e.g., supply). Graphically these lines have a slope of either positive or negative one (coefficient of 1).

Example 1 – Unitary Elastic Demand

In this outcome, students broaden their exploration of supply and demand and examine non-unitary relationships as they investigate the concept of elasticity.

19.1 analyze scenarios (e.g., demand and supply graphs) to assess the degree to which the demand or supply of a good or service is elastic

Elasticity focuses on the degree to which changes in price affect the quantity demanded and / or the quantity supplied. Elasticity is important because it describes the fundamental relationship between price and the demand and supply of goods and services.

For example, knowing the elasticity of a good enables sellers to more accurately anticipate buyers’ behaviour if price decreases or increases. Time should be taken for students to develop an understanding of elasticity through data analysis. When provided with a list, they can classify goods and services according to how a change in price would affect the quantity demanded.

For example: If the price of ____________ increased, would you purchase: a) the same amount, b) somewhat less, or c) a great deal less?

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Inelastic Demand• Quantity demanded does not respond strongly to price changes.Necessities tend to be income inelastic.• Examples include food, fuel, clothing, utilities, and medical services.

Elastic Demand• Quantity demanded responds strongly to changes in price.Luxuries tend to be income elastic.• Examples include sports cars, furs, and expensive foods.

Inelastic Supply• Quantity supplied does not respond strongly to price changes.Examples include gold and tomatoes.

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Elastic Supply

• Quantity supplied responds strongly to changes in price.Examples include chicken and ice-cream.

How can consumers respond to price increases for goods and services?

• Purchase less.• Use a cheaper substitute.• Delay the purchase.• Do not purchase.

https://www.youtube.com/watch?v=HHcblIxiAAk

Elasticity of Demand- Micro Topic 2.3

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Introduction to Elasticity

IF THE PRICE OF _________ INCREASED, WOULD YOU PURCHASE...

THE SAME

AMOUNT?

SOMEWHAT

LESS?

A GREAT DEAL LESS? WHY?

VIDEO GAMES

APPS

SNAPS ON SNAPCHAT (if you had to pay to use it)

MOVIE TICKETS

YOUR FAVORITE CHOCOLATE BAR

VEGETABLES

FRUIT

MINUTES OF INTERNET

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MINUTES OF ELECTRICITY

GASOLINE

YOUR FAVORITE MEAL

BOTTLED WATER

AUTOMOBILES

DESIGNER CLOTHES

MEDICINE

(make up your own)

(make up your own)

19.2 explain why the demand or supply of a particular product is elastic, unitary, or inelastic

Factors affecting elasticity of demand (i.e., demand elasticity) include:

- essentials vs. non-essentials – goods and service that satisfy needs tend to be inelastic, while those that satisfy wants are elastic

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- relative cost – goods or services that take up a very small percentage of household income tend to be inelastic (e.g., chocolate bar), while those that take up a higher percentage tend to be elastic (e.g., vacation travel)

- substitutes – goods or services that have easily available alternatives tend to be elastic (e.g., fast food), and vice versa

- time – the more time a consumer has available the more likely it is that they will find a substitute, thus increasing elasticity It may be useful to make comparisons along a continuum to illustrate this idea.

For example the following graphic illustrates the relative degree of demand elasticity for basic household goods:

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19.3 analyze scenarios involving elasticity of demand and explain the actions of consumers

Example 2 – Elastic demand

Example 3 – Inelastic demand

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19.4 explain why the supply of a product is elastic, unitary, or inelastic.

Factors affecting the elasticity of supply (i.e., supply elasticity) include:

- capacity – does the producer have the means to produce more; for example, could the factory add an extra shift

- product longevity – can the product be stored in a warehouse and sold later; for example, unsold canoes could be stored until next summer, but other types of products cannot be stored for very long before spoiling (e.g., milk)

- time – how much time does the producer need to increase supply; for example, to increase the production of cultivated Christmas trees would take several years

19.5 analyze scenarios involving elasticity of supply and explain the actions of producers It will be helpful to have students generate examples of the concept of supply elasticity to explain the actions of producers. Students are expected to use both text and simple graphs as part of their explanations.

Example 4 – Elastic Supply Example 5 – Inelastic Supply

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19.6 understand and correctly use relevant terminology:

capacity,

elastic,

elasticity essential,

inelastic,

non-essential,

product longevity,

relative cost,

substitute unitary

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Multiple Choice Give them a try, then check your work

1. ____________________ represents the quantity of a good or service that consumers are willing and able to buy at a given price. Usually, the lower the price, the more buyers there are and the more products are bought.

a) Demand b) Supplyc) Equilibrium d) Profit

2. ____________________ are where buyers and sellers meet, each trying to make the best deal possible for themselves.

a) Venues b) Suburbsc) Schoolsd) Markets

3. ____________________ is a fundamental economic concept that describes the total amount of a specific good

or service that is available to consumers a) Demand b) Supplyc) Equilibrium d) Profit

4. The ____________________ is the decrease in sales for a product that can be attributed to consumers switching to cheaper alternatives when its price rises

a) income effect b) substitution effect c) equilibrium effect d) Profit

5. ____________________ is the state in a marketplace where the forces of demand and supply are balanced so that shortages and surpluses are avoided

a) Demand b) Supplyc) Equilibrium d) Profit

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6. The principle that consumer demand is inversely related to price. An increase in price will decrease the quantity demanded is known as the ____________________

a) law of demand b) law of supply c) law of diminishing returns d) law of profit and loss

7. The source shows a ____________________ a) supply curveb) demand curvec) profit curved) loss curve

8. The intersection point shown in the source is the ____________________

a) profit marginb) solution c) profit curved) equilibrium point

9. Which is a change in the demand for a product caused by a change in the consumer’s incomes?

a) income effect b) substitution effect c) equilibrium effect d) Profit

10. Unfinished bulk products such as lumber, orange juice concentrate, wheat, or copper. These products are the same no matter who supplies them. They are also called ____________________

a) common goodsb) commodity goods.c) luxury goodsd) invested goods

11. Which of the following is a way to measure the amount of return on an investment compared to the cost of making the investment?

a) compound investmentb) compound interestc) investment portfoliod) return on investment

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12. Refer to the source. Which choice should go in the center?a) Demand b) Supplyc) Equilibrium d) Profit

13. Charging the highest price you can for a product so that you can get the maximum profit after production costs are paid is referred to as ____________________

a) Demand b) Supplyc) Equilibrium d) profit maximization

14. It is easier to charge higher prices for ____________________ products such as computers, cars, and clothes because consumers will prefer certain brands and suppliers.

a) finished b) commercialc) bulkd) luxury

15. What does the source show?a) Demand is always inversely related to priceb) Demand is always directly related to pricec) Demand is not related to priced) Demand is exclusive to widgets

16. Sometimes companies don’t always act properly, such as when there is _________________ between two or more companies.

a) agreementb) cooperationc) contractsd) collusion

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17. Necessities tend to be income _________________. Examples of necessities include food, fuel, clothing, utilities, and medical services.

a) inelasticb) elasticc) dependent d) collusion

18. Which of the following is a list of factors that increase or decrease supply?a) change in the number of producers, changes in prices, changes in technologyb) profit maximization , profit minimization. compound investment, compound interestc) changes in technology, compound investment, changes in pricesd) profit minimization., compound interest, changes in technology

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Refer to the source below to answer question 19 and 20If Bob wanted to start a side hustle to support his world travels could he make some money selling Bowler Hats? ( You were expecting Top Hats?)

Selling price per bowler

Cost per bowler

Profit (loss) per bowler

Quantity supplied

Total profit

5 10 -5 0 010 10 0 0 015 10 5 0 020 10 10 1 1025 10 15 3 4530 10 20 6 12035 10 25 1040 10 30 1545 10 35 #19 70050 10 40 25 #20

19. Which of the following correctly fills in the cell labelled #19?a) 15 b) 20 c) 25 d) 30

20. Which of the following correctly fills in the cell labelled #20?a) 800 b) 900 c) 1000 d) 20

Answers

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e)

Refer to the source below to answer question 19 and 20If Bob wanted to start a side hustle to support his world travels could he make some money selling Bowler Hats? ( You were expecting Top Hats?)

Selling price per bowler

Cost per bowler

Profit (loss) per bowler

Quantity supplied

Total profit

5 10 -5 0 010 10 0 0 015 10 5 0 020 10 10 1 1025 10 15 3 4530 10 20 6 12035 10 25 1040 10 30 1545 10 35 #19 70050 10 40 25 #20

21. Which of the following correctly fills in the cell labelled #19?b) 15 b) 20 c) 25 d) 30

22. Which of the following correctly fills in the cell labelled #20?a) 800 b) 900 c) 1000 d) 2000

Constructing a flow chart is a good way to recognize cause-and-consequence relationships between events. As you list the consequences of decisions, you can assess each one in terms of utility (usefulness or desirability). Utils can be used to represent economic value and to help make a comparison. The following steps were used to design the flowchart outlining the consequences of a particular choice between two alternatives:

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When only the short-term consequences are being assessed, the two alternatives score equally in terms of utility. However, an assessment of long-term effects reveals that one alternative has significantly greater utility and consequences.

You should apply the principles from the example above to do the following activity:

Thinking Like an Economist

As you debate the consequences of decisions you can assess each one in terms of utility (usefulness or desirability). Utils can be used to represent economic value and to help make a comparison.

Use the following steps to outline the consequences of a particular choice between two alternative decisions. Follow these steps on the attached flowchart.

Please note that desirable outcomes will be placed on the left of the flow chart and undesirable outcomes will be placed on the right of the flow chart.

1. Identify two alternative decisions and place them in bubbles number one.

2. Identify a desirable and undesirable short term outcome for each decision in bubbles number two.

3. Identify 2 desirable and 2 undesirable long term outcomes for each decision in bubbles number three and four.

4. Assign a util value to each consequence and analyze the result.

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“Satisficing” (Outcome 15.5) Most of the economic decision making that we have discussed is based on the premise that

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one must maximize benefit. This requires minimizing cost and maximizing gain in any economic decision. However, some situations are not so simple. In these cases it may be prudent to do what is referred to as “satisficing.” Satisficing is a portmanteau of the words satisfaction and suffice. Essentially, this means that the person or group making the economic decision accepts that they will not get everything they want, so they make a compromise.

For example: Susan has saved $100 to purchase a pair of designer jeans. However, a concert was recently announced that she would also like to attend. Front-row seats also cost $100. The opportunity cost of choosing between these alternatives is unacceptable to Susan – she wants new jeans, but also wants to attend the concert. Susan decides to buy a less expensive pair of jeans for $50, and general seating concert ticket for $50. In neither case did she get exactly what she wanted, but in each case she was able to adequately achieve her goals.

How can you apply the concept of “satisficing” to the scenario you created in the activity above? Is there a way to have a compromise between the two opposing options?

____________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________

Ethical Consequences of Consumer Choice

Watch the following video https://www.youtube.com/watch?v=acaVk8TD7do and look at the photo essay on pages 170-171 in your textbook. Using the PEE method, discuss the ethical implications of consumer spending on disposable electronics. Remember to use specific

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examples from the video and/or text to support your answer.

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Follow up questions:

Q4 (p. 171) Research another popular industry (such as clothing, fast food, cosmetics, etc.) and classify the economic and social consequences of that industry.

________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________

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______________________________________________________________________________________________________________________________________________________________________________________________________________________________

Q5 (p. 171) How can ethical considerations change consumer and business practices in the short- and long-term?

______________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________

Q6 (p. 171) How do you contribute to the problem of mass production of disposable electronics? How could you reduce the negative consequences of your spending?

______________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________

Important Terms (Outcome 15.6):

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Direct consequences: __________________________________________________________________________________________________________________________________________________________________________________________________________________________________________

Ethical Consumerism: __________________________________________________________________________________________________________________________________________________________________________________________________________________________________________

Fair Trade: __________________________________________________________________________________________________________________________________________________________________________________________________________________________________________

Goal/Priority: __________________________________________________________________________________________________________________________________________________________________________________________________________________________________________

Indirect consequences: __________________________________________________________________________________________________________________________________________________________________________________________________________________________________________

Opportunity Cost: __________________________________________________________________________________________________________________________________________________________________________________________________________________________________________

Satisfice: ________________________________________________________________________________________________

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__________________________________________________________________________________________________________________________________________

Trade-off: __________________________________________________________________________________________________________________________________________________________________________________________________________________________________________

Competition Can Benefit Consumers

Unit 6: Economic Decision MakingStudent Activity - Competition (Outcome 16.3)Social Studies 1201

What are the BENEFITS of competition?

What are the CHALLENGES of competition?

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How can businesses be competitive in a market?

Student Activity- Reflection (Outcome 16.3)

Watch the this video (https://www.youtube.com/watch?v=5sMXR7rK40U ) and complete the following: - form small groups (3-4 students) - brainstorm a response to the statement below based on your understanding of competition in business and the video - after brainstorming with your group, write your own response to the statement using the PEE method (USE EXAMPLES FROM CLASS OR THE VIDEO TO SUPPORT YOUR RESPONSE)

“Competition has benefits and challenges for customers and businesses”

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Creating Competi

tion

______________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________Market Structures (Outcome 16.1, 16.4)

Using the video link below and/or your notes, identify and explain each of the major market structures in an economy:

https://www.youtube.com/watch?v=QJnP8jzBjvk&t=90s

Market Structures: ________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________

Marketplace: ________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________

Perfect Competition: ________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________

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Monopolistic Competition: ________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________

Oligopoly: ________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________

Monopoly: ________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________

Competition: ________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________

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