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Question: Discuss About The Article Library The Next Generation Library? Answer: Introducation An economy is characterized by various market structures, the four basic market structures include perfect competition, monopolistic competition, oligopoly, and monopoly. A perfect competition market structure consists of a large number of firms competing. A single firm cannot control the whole market and has limited power in terms of entry barriers. Also, all firms produce identical products. A monopolistic competition also consists of a large number of firms competing against each other. However, the firms in this market structure sell similar products but somewhat differentiated. There is also free entry and exit to the market. An oligopoly is a market structure that is controlled by a small number of firms meaning that it is a situation of limited competition. The products produced may be identical or differentiated and there exist barriers to entry in this market. A monopoly is a market structure where a single dominant firm controls the entire market. In this scenario, the firm can set its prices and control output because consumers dont have much choice. Also, there are high barriers to entry (Stiglitz, 1993). Game theory is a study of determining logically the actions of participants in achieving the best outcomes when faced with various alternatives. Game theory is common in an oligopoly market structure (" The Concise Encyclopedia of Economics, 2017). In real life, game theory can be applied when striking deals. A kinked demand curve is a standard demand curve with a bend as a consequence of competing firms in an oligopoly market structure (" kinked demand curve, 2017). For example, ever wondered why most petrol stations charge more or less the price of fuel. Competing firms cannot afford to increase their prices (Guru, 2017). Price discrimination is a pricing strategy that sells the same product to different customers at different prices with the aim of improving revenues. There exists a number of pricing strategies that firms use. Some include; incentive discounts, loyalty pricing, and indirect segmentation. A Woolworth supermarket chain in your city is likely to be in an oligopoly marketing structure since its in a major city. A Woolworth supermarket in a small town is in a monopoly market structure because isolated small towns may have a monopoly situation. A small cafe in Melbourne/Sydney CBD is in a monopolistic competition market because it is highly likely there are other small cafes, operating in the CBD on any given day. Yarra Tram in Melbourne is in a monopoly situation because they operate large tram networks. Australia New Zealand Bank in an oligopoly market structure since it is one of the largest global banks with a considerable market share in Australia, New Zealand, and other countries. Academies Australasia Polytechnic is a higher education institution which incorporates elements of monopoly, oligopoly, and monopolistic competition. A small store that sells souvenirs in your citys Sunday market is in a perfect competition market because there is a high chance there exists other small stores selling similar items. I phone and Samsung in the smart phone industry which is an oligopoly market structure. A monopolistic competitive market structure has differentiated products, the demand curve is downward sloping and more elastic (Diagram B). Firms operating in this market structure have less control on the prices and will depend on how unique its product is compared to its competitors.On the other hand, oligopolies face a combination of both curves, inelastic and elastic. This is because oligopolies monitor each others pricing decisions. Increases in the price above the equilibrium will result in the more elastic demand curve. On the flip side, a reduction in prices below the equilibrium, the demand curve will be inelastic because other competitors will reduce their prices. References Game Theory: The Concise Encyclopedia of Economics | Library of Economics and Liberty. (2017).Econlib.org. Retrieved 4 October 2017, from https://www.econlib.org/library/Enc/GameTheory.html Guru, S. (2017).YourArticleLibrary.com: The Next Generation Library. Retrieved 4 October 2017, from https://www.yourarticlelibrary.com/oligopoly-market/the-kinked-demand-curve-theory-of-oligopoly/37335/ Spacey, J. (2017).10 Examples of Price Discrimination.Simplicable. Retrieved 4 October 2017, Auditing https://simplicable.com/new/price-discrimination Stiglitz, J. (1993).Economics. New York: Norton.