Producers & Consumers

McDonald’s sent you a coupon in the mail for a free sandwich with the purchase of an extra value meal. This is an example of

• A factor of production

• An incentive

• A product utility

• Your economic role

When there is one single large seller with no close competition, then you have

• Perfect competition

• Oligopoly

• Monopoly

• Monopolistic competition

Sarah is going on a trip. She is traveling by plane and is planning to only take a carry-on bag. She knows she has to follow TSA guidelines on liquids, so she has to buy her brand of shampoo in the travel size container, not her regular 28 ounce bottle. This is an example of

• Form utility

• Place utility

• Time utility

• Possession utility

You looked at the products in your home and found that a number of appliances, clothing, and electronics/technology products were made in other countries. This is the effect of

• Supply

• Demand

• Globalization

• Equalization

When you have many sellers that offer differential products (products that differ slightly) but serve similar purposes then you have

• Perfect competition

• Oligopoly

• Monopoly

• Monopolistic competition

When many companies are competing for the consumers’ dollars and none of the businesses has a significant advantage over the others, then you have

• Perfect competition

• Oligopoly

• Monopoly

• Monopolistic competition

The theory that the power of consumers determine what goods and services are produced is called. Mark only one oval.

• Incentives

• Diminishing Marginal Utility

• Entrepreneurship

• Consumer Sovereignty

Jim is a housing developer. He has decided not to build a new housing development since house prices are spiraling. This is an example of a(n). Mark only one oval.

• Disincentive

• Incentive

• Trending

• Forecasting

Polaroid received a patent on their instant film where you took a picture and the camera produced a picture card and the picture developed before your eyes. No other business could manufacture this product for 20 years. Polaroid was known as a. Mark only one oval.

• Natural monopoly

• Legal monopoly

• Stockholder

• Source of capital

You play three roles in our market economy: a consumer role, a worker role, and a citizen role. Your worker role supports your consumer role because

• you need money to purchase goods and services

• you need to work to be able to vote

• All of the above

• None of the above