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  2. Different types of market situations include12:
    • Perfect competition: Many small firms, identical products, no barriers to entry.
    • Monopolistic competition: Many firms, differentiated products, low barriers to entry.
    • Oligopoly: Few large firms, interdependent decisions, high barriers to entry.
    • Monopoly: Single firm, unique product, high barriers to entry.
    Learn more:
    Four basic types of market structure characterize most economies: perfect competition, monopolistic competition, oligopoly, and monopoly. Each of them has its own set of characteristics and assumptions, which in turn affect the decision-making of firms and the profits they can make.
    quickonomics.com/market-structures/
    The four main types of market structures are perfect competition, monopolistic competition, oligopoly and monopoly. The more competitors in a market, the more likely it is that prices can stay fair and competitive for customers, and in some oligopoly and monopoly markets, government regulations can keep companies from charging unfair prices.
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