MARKET AND MARKET COMPETITION

Abstract

The article specifies the essence of the market, market competition and the type of market structure. The reason for market competition is revealed, due to the impossibility of the autonomous (independent of the actions of other subjects) existence of each individual, which, in turn, is due to specialization. The dependence of the type of competition and the economic optimum is considered, noting that the economic optimum is provided by perfect competition. In a situation of imperfect competition, the economic optimum, although desirable, is unattainable. At the same time, it is emphasized that the real economy is not static. Outside the boundaries of a static study of competition, patterns of economic development remain. In dynamic economic theory, dynamic models are formed in which there is a time sequence of phenomena and a typical state of economics ― disequilibrium. The economy is characterized by dynamic competition ― market competition with changing (dynamic) needs (consumer and production).