A company town model changes the market form from that of perfect competition to that of a

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A company town model typically involves a single employer dominating the labor market, resulting in a monopsony market form where the employer has significant power to set wages and other employment conditions. This is different from a monopoly, where a single seller dominates the product market. Oligopoly and monopolistic competition involve multiple sellers in the market, which is not the case in a company town model.

A Company Town Model Changes the Market Form from That