commodity market a market in which many sellers offer an identical item for sale

consumer surplus the bonus provided consumers by a market; the differences between what buyers would be willing and able to pay and the market price






differentiated products products that are different in customers' minds






market structures the selling environments in which firms operate

monopolistic competition a selling environment in which there are many firms with differentiated products, where entry and exit can be carried out easily

monopoly a selling environment in which only one firm sells a good or service






oligopoly a selling environment in which just a few firms dominate the market






perfect competition a selling environment in which there are many firms selling identical products and in which entry and exit are easy

price taker a perfect competitor or commodity seller; the price one must sell at is determined by the market

producer surplus the difference between what a producer is willing and able to sell a good or service at and the market price






standardized products products that are identical

strategic behavior carrying out actions by considering the actions and reactions of others