The Principles of Microeconomics course was developed through the Ohio Department of Higher Education OER Innovation Grant. This work was completed and the course was posted in December 2019. The course is part of the Ohio Transfer Assurance Guides and is also named OSS004. For more information about credit transfer between Ohio colleges and universities, please visit: www.ohiohighered.org/transfer.Content ContributorsKen Fah Ohio Dominican UniversityJohn Fiske Ohio Dominican UniversityJoe Nowakowski Muskingum UniversityLibrarianNathan Wolfe Kenyon CollegeReview TeamMolly Cooper Ohio State University Subbu Kumarappan Ohio State University ATI
In this topic, students will be introduced to imperfect competition. They’ll learn about monopolistic competition and oligopoly, about their characteristics are and about how they differ from perfect competition and monopoly. They’ll also focus on the importance of the key features of monopolistic competition, product differentiation and advertising; and the key features of oligopoly, mutual interdependence, collusion and the game-theoretic approach to strategy.
In this topic, students will be introduced to monopoly. They’ll learn what a monopoly is, how it differs from perfect competition and what conditions give rise to it. They’ll also learn how monopolists decide on the profit-maximizing level of output and price. The social costs and benefits of monopoly will also be covered. In addition to monopoly, the topic will cover price discrimination.
This topic covers the analysis of a firm’s costs in the short and long run. It explains the important difference between accounting and economic costs (and how that affects the definition of accounting and economic profits). It also makes the distinction between fixed and variable costs.
This topic presents an analysis of firm behavior under perfect competition. It begins by identifying the requirements for perfect competition. It then covers the definitions and meaning of costs in the short and long run, describes the firm’s profit-maximizing output decision and its entry-exit decisions. It ends with a discussion of the efficiency implications of perfect competition.