AP Microeconomics 🏦

Unit 4

UNIT DESCRIPTION
Key Takeaways
Lesson Description

Key Takeaways

• Monopolies are price makers with no close substitutes.
• Monopolistic competition features many firms selling differentiated products.
• Oligopolies consist of a few interdependent firms.
• Market structure determines pricing power and efficiency.
• Barriers to entry protect monopolies from competition.

Must Know Market Structures

Perfect Competition
Monopoly
Monopolistic Competition
Oligopoly

Must Know Vocabulary

Natural Monopoly
Price Maker
Price Taker
Barriers to Entry
Collusion
Cartel
Game Theory
Dominant Strategy
Nash Equilibrium

AP Exam Focus

• Compare market structures.
• Draw monopoly graphs.
• Apply game theory.

Lesson 1
Lesson Description
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