what is imperfect market?
An imperfect market is a market situation in which the forces of demand and supply do not operate freely. there different degrees of regulation of the market forces full. in the real world, a perfect market does not exist in its pure form (the same applies to a monopoly which shall be treated later) the rule is imperfect competition. but perfect competition and monopoly and theoretical concepts.
Examples of imperfect market are:
- monopolistic competition or monopoly
- oligopolistic competition or oligopoly
- imperfect market
- Monopolistic competition: this is a market where we have several producer or similar products. goods are not homo genius due to branding or use of trademarks or the services offered me define quality.
- Oligopoly: an oligopolistic market is the type of market in which there are few producers and sellers. the few firms in the industry sometimes agree on common production and pricing policies. this is called colluding oligopoly.
- Duopoly: this is a market situation in which there are only two sellers or producers of a commodity.
- Monopsony: a monopolist is a single buyer. monopsony is a market in which a single individual or a group of person who acts as a unit is responsible for the purchase of a particular commodity.
- Oligoposony: this is a market condition in which there are few buyers.