imperfect market

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Related to imperfect market: Monopolistic competition

Imperfect market

Economic environment in which the costs of labor and other resources used for production encourage firms to use substitute inputs that are less costly.

Imperfect Market

1. See: Market inefficiency.

2. A market where costs are too high, encouraging producers either to stop producing or to find ways to lower costs. For example, if labor costs are too high in an imperfect market, producers have an incentive to lower salaries, lay off employees, or cease operations altogether.

imperfect market

References in periodicals archive ?
Either the imperfect market is working in response to consumer preferences and sprawl really is all that anyone wants or needs, or the market is being horribly threatened and constrained through the heavy-handed "interventions" of regulators.
Economists call healthcare an imperfect market because the consumers of medical care do not pay the full cost of medical care.
Earlier studies by UNCTAD have hinted that in an imperfect market dominated by a few large buyers, the possibility of collusion and price fixation in the auction cannot be ruled out More recently, the view is gaining ground that the auction system provides little incentive for value addition by producers, which has long-term implications on their profitability.
At a February 15 hearing before the House Subcommittee on Energy and Air Quality, the American Public Power Association (APPA) called on Congress and FERC to "address the imperfect market structure.
The market for health-care services is considered an imperfect market because--1) Health care is a heterogeneous product, as the patient can experience a range of outcomes; 2) Patients who are insured have third-party payers covering their direct medical expenses; and 3) A "market price" is lacking, i.
Even this imperfect market for accounting educators results in benefits to society as well as to accounting.
Profit maximisation enables the setting of prices that will maximise profits in an imperfect market, it is dependent on good market data to establish the relationship between price and demand.
Yet he has demonstrated that even an imperfect market produces better results than arrogant experts and grasping bureaucrats.
Dr Wriglesworth states: 'The Governments' intentions are good but introducing the sellers pack survey will create yet more unwanted inefficiency in an already imperfect market.
However, in an imperfect market, self-interested managers may be motivated to divest assets at a cost to shareholders.
However, suppose that the ith commodity is exchanged on an imperfect market for which the market environment constraint binds.
The imperfect market in secondaries has produced great opportunities for savvy investors," said Coller's principal lawyer Frank E.