ABSTRACT
In Chapter 5 we compared markets operating under perfect competition and monopoly, and saw that the level of output which a rm selects and the price which it charges for its product depends on the structure of the market. In simple terms, market structure can be thought of as a description of the characteristics of buyers and sellers (for example, size and number). Although pure forms of these structures are uncommon they are useful in showing the range of possible outcomes. This chapter considers the behaviour of rms and markets under intermediate forms of market structure.
