Answer:
Migration of educated professionals from a country for better pay or living conditions - brain drain
Economic principles stating that a freely competitive market works for the benefit of all. - invisible hand
Market situation in which each of a few producers affects but does not control the market - oligopoly
Market situation with only one seller for a given product or service - monopoly
Two or more consecutive quarters of decline in GDP - Recession
The amount of a commodity or service that people are ready to buy for a given price. - demand
The price determined by the movement of supply and demand- market price
The price determined by the movement of supply and demand - market price
The quantity of a product producers are willing to sell at a given price supply
Step-by-step explanation:
A monopoly is when there is only one firm operating in an industry. there are usually high barriers to entry of firms. the demand curve is downward sloping. it sets the price for its goods and services.
An example of a monopoly is a utility company
A natural monopoly occurs due to the high start-up costs or a large economies of scale.
Natural monopolies are usually the only company providing a service in a particular region
Characteristics of natural monopolies
1. they have a large fixed cost
2. The firms have a low marginal cost
3. They occur naturally through the free market. It does not occur by government regulation or any other force
An Oligopoly is when there are few large firms operating in an industry. While, a monopoly is when there is only one firm operating in an industry.
Oligopolies are characterised by:
price setting firms
product differentiation
profit maximisation
high barriers to entry or exit of firms
downward sloping demand curve
The amount of a commodity or service that people are ready to buy for a given price is known as demand. demand is higher when price is lower and lower when price is higher. This is known as the law of demand.
The quantity of a product producers are willing to sell at a given price. supply is higher when price is higher and lower when price is lower. This is known as the law of supply
Inflation is a persistent rise in the general price levels
Types of inflation
1. demand pull inflation – this occurs when demand exceeds supply. When demand exceeds supply, prices rise
2. cost push inflation – this occurs when the cost of production increases. This leads to a reduction in supply. Higher prices are the resultant effect
The price determined by the movement of supply and demand is known as the market price.
Equilibrium price is the price at which quantity demand equal quantity supplied. Above equilibrium price there is a surplus - quantity supplied exceeds quantity demanded.
Below equilibrium price there is a shortage - quantity demanded exceeds quantity supplied