in order to produce additional cars, as stated in the textbook. This is a short run fixed cost because Ford is not able to adjust the number or sizes of its car factories meaning it would need to hire more workers to sell more vehicles. An example of a long run fixed cost would be Ford expanding the sizes of its factories over several years which gives the potential of producing more vehicles with more workers and machines. "In addition, all the short-run curves lie on or above the long-run curve. These properties arise because firms have greater flexibility in the long run. In essence, in the long run, the firm gets to choose which short-run curve it wants." Market Structures Market Number of Type of Price Price Formula Freedom of Short-run Long-run Industry Examples Structure Firms Product Sold Taker? Entry? Profit? Profit? Perfect Infinite Choose an Choose Choose an Choose an Choose an Choose an [Insert two to three example Competition item. an item. item. item. item. item. industries that meet the criteria of the market structure.] Monopolistic Choose an Choose an Choose Choose an Choose an Choose an Choose an [Insert two to three example Competition item. item. an item. item. item. item. item. industries that meet the criteria of the market structure.] Monopolies Choose an Choose an Choose Choose an Choose an Choose an Choose an [Insert two to three example item. item. an item. item. item. item. item. industries that meet the criteria of the market structure.] Oligopolies Few Differentiated Yes Choose an Choose an Choose an Choose an [Insert two to three example dominant or Identical item. item. item. item. industries that meet the criteria of firms the market structure.] Table 4.1 A monopoly, in short, is a resource that is owned by only one person or company in close proximity to others in a market. Since this monopoly has control over setting prices, they tend to overprice the resource which can cause inefficiencies. According to Figure 8 in the textbook, "because a monopoly charges a price above marginal cost, not all consumers who value the good at more than its cost buy it," leading to dead weight loss. Deadweight loss is a