1. Briefly explain how firms compete/set price under -
- Perfect competition
- Oligopoly
2. Most recently, the price of oil has fallen drastically. Explain if this is a result of:
- A drastic reduction in the cost of production (i.e. shift in the supply curve)?
- A fall in the demand for oil and oil products ( i.e. shift in the demand curve?
- A change in the Speculative Activity ( i.e. change in stock piling)?
- Other factors ?
( Based on current oil pricing in the global market)