Market Competition

In which market structure is there the LEAST competition?

• Monopoly
• Oligopoly
• Monopolistic Competition
• Perfect Competition

In which market structure is there the MOST competition?

• Monopoly
• Oligopoly
• Monopolistic Competition
• Perfect Competition

In perfect competition, the product is differentiated

• True
• False

What is not part of perfect competition?

• buyer/ seller are well informed
• sellers cannot enter/ exit market easily
• low prices
• few barriers of entry

When a major car company lowers its prices, other car makers will probably 

• maintain existing prices.
• raise their prices.
• go out of business.
• lower their prices.

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

• collusion
• price leadership
• compliance
• nonprice competition

Perfect competition is characterized by

• a large number of sellers and buyers.
• diverse products.
• sellers acting together to set prices.
• uninformed buyers and sellers.

ABC, CBS, FOX and NBC are a great example of this market structure

• Perfect Competition
• Imperfect Competition
• Oligopoly
• Monopoly

What prevents firms from entering a monopoly?

• Barriers to Entry

• Technology

• Price

• Barriers to Travel

If Nike and Adidas merge, it would be a _____________ merger

• horizontal
• vertical
• insane
• ladder