Microeconomics 2nd Edition by Douglas Bernheim

Exercise 1

Consider the market for canned tuna fish. The labels fall into three categories: premium (Bumble Bee, Star- Kist, Chicken-of-the-Sea), medium-quality (Three Diamonds, Geisha), and store-brand. There is chunk light tuna and solid white tuna; tuna packed in water and tuna packed in oil. Is there a single "canned tuna market A "premium tuna market What factors are important in defining this market