Market Structure Quiz

Market structure in which only a few large sellers dominate and have the ability to affect prices in an industry.

• Monopoly

• Oligopoly

• Market failure

• Public good

Market structure characterized by a single producer in a market.

• Trust

• Laissez-faire

• Monopoly

• Economies of scale

Philosophy that government should not interfere with business activity.

• Market structure

• Laissez-faire

• Public good

• Externalities

Condition that lacks any of the requirements for a competitive market—adequate competition, knowledge of prices and opportunities, mobility of resources, and competitive profits.

• Market failure

• Foreclosure

• Trust

• Economies of scale

Economic products that are paid for and consumed collectively, such as highways, national defense, police and fire protection.

• Public good

• Externalities

• Monopoly

• Oligopoly

In the economic term oligopoly, the word part olig- probably means _______.

• A. “few”

• B. “single”

• C. “all”

• D. “one”

Which of the following factors contribute to market failure?

• A. adequate competition

• B. knowledge of prices and opportunities

• C. mobility of resources

• D. inadequate competition

We say the United States has a “modified” free enterprise economy because almost everything we do and everything we buy is in some way affected by _______.

• A. business

• B. money

• C. government

• D. inventors

In which market structure is there a single seller and no close substitutes for the product?

• Perfect competition

• Monopolistic competition

• Oligopoly

• Monopoly

What is the primary characteristic of an oligopoly market structure?

• A single seller dominates the market

• There are many sellers and buyers

• A few large firms dominate the market

• Products are always homogeneous