本章主要介绍 完全竞争市场 ，由此引出 供给双方 的概念。由于供给两方的存在，便有了 市场盈余，市场均衡 以及如何提最大化 市场效率 的目标。本章与此同时还介绍了什么是 全量/全市场冲击 ，及其对供给双方的影响。
A competitive market is a market structure where multiple buyers and sellers interact without any single participant having the power to control or influence market conditions.
This is also called a Perfectly Competitive Market.
Key Characteristics
Multiple Participants The market has numerous buyers and sellers, with no single entity dominating the market.
Homogeneous Products Products offered are similar or identical in nature, with minimal differentiation in features or capabilities.
Free Entry and Exit There are no significant barriers preventing firms from entering or leaving the market.
Price Taking Behavior Individual firms must accept the market price as they cannot influence it independently.
What Determines the Market Outcome?
Supply and Demand The fundamental forces of Supply and Demand determine prices and quantities in competitive markets.
Economic Factors
- Interest rates
- Inflation levels
- Economic growth
- Consumer confidence
External Influences
- Government policies and regulations
- Technological changes
- International transactions
- Geopolitical events
What is the key desirable property about competitive markets?
The key desirable property of competitive markets is their ability to achieve economic efficiency through several mechanisms (see Market Equilibrium & Efficiency)
How are market outcomes shaped by economic shocks?
see more details at Aggregate Shocks (全市场冲击）
Conclusion
Under some conditions, competitive markets deliver efficient outcomes
- self-interested agents engage in voluntary exchange
- equilibrium price ensures allocative efficiency
We use the competitive market framework to understand the impact of shocks
- less price-sensitive side of the market ultimately has more exposure to shocks
- not consequential which side of the market has direct exposure