AP Micro Unit 4 Review

Front

In this market structure there is only one seller with a unique product

Back

monopoly

Front

Price fixing and collusion often occur in this type of market structure: monopoly, oligopoly, perfect competition, monopolistic competition.

Back

oligopoly

Front

In this market structure there are many buyers and sellers with identical products.

Back

perfect competition

Front

One firm dominates the market is known as a:

Back

Monopoly

Front

Non-price competition is the use of ads, giveaways, or promotions to win customers

Back

True

Front

The effort by sellers to secretly set production levels or prices is called

Back

collusion

Front

For a non-price discriminating monopoly, the marginal revenue is

Back

less than the price

Front

Monopolies are able to make economic profit in the long run because: they can price discriminate, they have barriers to entry, they have inelastic demand curves, the demand curve is greater than the MR

Back

they have barriers to entry

Front

A perfectly competitive industry is different from a monopoly in that

Back

perfect competition produces the allocatively efficient quantity

Front

If the government regulates a natural monopoly by setting a price ceiling where the MC equals the demand then

Back

the monopoly will produce the socially optimal quantity.