AP Unit VII. Firm Behavior; Oligopoly and Monopolistic Competition Market Structures

EQ:
Readings: Modules 64, 65, 66, 67, 68

  • Oligopoly
    • Interdependence, collusion, and cartels
    • Game theory and strategic behavior
    • Dominant strategy
    • Nash equilibrium
  • Monopolistic Competition
    • Product differentiation and role of advertising
    • Profit maximization
    • Short-run and long-run equilibrium
    • Excess capacity and inefficiency

Dilbert Explains The Prisoner’s Dilema (Thanks to Mr. Fields, Mandarin HS)
John Nash Explains Nash Equilibrium from non-competition