Microeconomics is a sub-discipline that focuses on economic dynamics as they exist among consumers (individuals or smaller groups) as well as specific firms. It analyzes the way these actors make decisions, why they make them, and what conditions those decisions produce.

Barriers to Entry

Barriers to Entry are designed to prevent potential competitors from entering the market. Some barriers to entry are placed by the government, while others could be related to cost. These barriers result in different market structures such as monopolies or oligopolies (a few firms).