Instructions:
Putting theories into practice--
Please pick one or some specific concepts we learnt each week, illustrate how will you practice these concepts on a specific case that you can find. Requirement: Please provide: details of the reasons you choose a topic or concept; details of any case (personal experiences, news, articles, reports, research papers,etc.) you choose; and how the theory of decision making is reflected in this case; at least 3 (double-spaced, 12pt-font) pages not including title page, not including tables and charts (but you are welcome to include them).
Module 5: Summary
In this module, we conclude the details of how the firms behave in different market structures to maximize their profit. Specifically, firms pick different output levels in each market structure. in determining their production strategies such as profit-maximizing output, shutdown output, etc. Moreover, this module will also introduce you to different market structures: perfectly competitive market, monopolistic market, duopoly, and monopoly.
Module 5: Overview
In the previous module, we have learned the basic concepts of costs and revenues, and how these elements interact with each other for the firm to maximize its profit. In this module, we will see in details of how the firm behave in different market structures to maximize its profit. The targeted variable is the output level. Firms choose their output levels in determining their production strategies such as profit-maximizing output, shutdown output, etc. Moreover, this module will also introduce you to different market structures: perfectly competitive market, monopolistic market, duopoly, and monopoly.
Module Objectives
At the end of this module students will be able to:
- Describe firm's production decision in perfect competitive market. (1.a, 1.b, 2.a, 4.a, 4.b)
- Describe firm's production decision in monopolistic competitive market. (1.a, 1.b, 2.a, 4.a, 4.b)
- Describe firm's production decision in oligopoly. (1.a, 1.b, 2.a, 4.a, 4.b)
- Describe firm's production decision in monopoly. (1.a, 1.b, 2.a, 4.a, 4.b)