Unit 4 Test Remediation

Circular Flow Recap
Worth 10 Pts

By Jana Lane

What two roles do households play?

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What two roles do businesses play?

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Categorize

Options (8)

Supply in Factor Market

Demand in product market

Buy goods and services

Paid for supplying productive resources

Supply in factor market

Demand in Product Demand in factor market

Buy productive resources

Paid for goods and services

Sort

Houehold

Business

Open Ended

Give an example of how households are suppliers.

Open Ended

Give an example of how households are demanders.

Perfect Competition

Products are all the same.

Price taker.

Monopolistic Competition

Products are differentiated.

Unlike Cotton, Corn, or potatoes, products have a "twist" that make you want to buy them, although you could easily buy another brand or variety.
Examples: Shampoo, Restaurants, Candy Bars

Multiple Select

Why types of competition are easy to enter?

• Perfect Competition

• Monopolistic Competition

• Oligopoly

• Monopoly

Oligopoly

A few competitors dominate the market.

LIke Monopolistic, these products often have a "twist" but unlike monopolistic, only a few companies have control of the market, so they can control pricing a little. They may try to drive each other out of business (price wars) or try to raise prices by working together (collusion).

Categorize

Options (8)

Corn

Restaurants

Cell phones

Power Company

Toothpaste

Coffee

Soda

Patented Medication

Sort the type of competition with the example:

Perfect Competition

Monopolistic Competition

Oligopoly

Monopoly