In this article we will discuss about when does competition become imperfect in a market. Perfect competition, according to Mrs. Joan Robinson, is never likely to prevail in the market of any actual commodity. In actual practice most of the markets are imperfectly competitive. Competition becomes imperfect when any of the following conditions arises in the market: 1. A Small [...]
The following article will guide you about how are prices determined under imperfect competition. Price Determination under Oligopoly: In an oligopoly situation there are only a few firms and the size of each firm is so large that a single firm can influence considerably the market supply and price. However, an oligopolist cannot determine the output and price independently. He [...]
The following article will guide you about how are factor prices determined under imperfect competition. The Marginal productivity theory of Distribution, as explained by J. B. Clark and others, is applicable to the determination of factor prices under perfect competition. But Mrs. Robinson has extended its application to all types of market situations. So, the theory, as modified by them [...]