Outline of Economics - Market Forms

Market Forms

• Perfect competition, in which the market consists of a very large number of firms producing a homogeneous product.
• Monopolistic competition, also called competitive market, where there are a large number of independent firms which have a very small proportion of the market share.
• Monopoly, where there is only one provider of a product or service.
• Monopsony, when there is only one buyer in a market.
• Natural monopoly, a monopoly in which economies of scale cause efficiency to increase continuously with the size of the firm.
• Oligopoly, in which a market is dominated by a small number of firms which own more than 40% of the market share.
• Oligopsony, a market dominated by many sellers and a few buyers.