The spectrum of competition ranging from perfect competition at one end to pure monopoly at the other
Markets can be arranged on a spectrum. At one end, perfect competition has many firms competing fiercely. At the other end, a pure monopoly has just one firm dominating the entire market.
Real World
UK supermarkets like Tesco, Asda, Sainsbury's, and Morrisons sit in the middle of the spectrum — oligopolistic, not perfectly competitive or pure monopoly.
Exam Focus
Never describe a real market as 'perfectly competitive' — always place it on the spectrum and justify your positioning.
Price Elasticity of Demand
PED = % change in quantity demanded ÷ % change in price
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