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When Professor Smith is in the classroom, his lectures are often formal and well prepared. He teaches sociology and lectures to a group of about 150 students. His class is 50 minutes long. During that time, he reviews his PowerPoint slides and gives a formal lecture. He is a funny guy but tends to be more serious while in the classroom. When he is with his friends, he tells many jokes and has a good sense of humor. What accounts for the difference in behavior that Professor Smith is exhibiting in the classroom as compared to when he is with his friends?
Prices
The sum of money needed to buy a product or service.
Competitors
Other businesses or individuals that offer similar goods or services within the same market, competing for the same customers.
Oligopolist
A market participant in an oligopoly, where a small number of firms dominate the industry, influencing prices and market conditions.
Kinked Demand Curve
A theory in economics that suggests that prices in a monopolistic competition scenario may remain stable because competitors will match price decreases but not price increases.
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