Market Structures Quiz

In which market structure do firms have no market power to set their prices?

• Perfect competition

• Monopolistic competition

• Oligopoly

• Perfect monopoly

Which market structure is characterized by a single seller controlling the output of the industry?

• Perfect competition

• Monopolistic competition

• Oligopoly

• Perfect monopoly

In which market structure is product differentiation considered unimportant?

• Perfect competition

• Monopolistic competition

• Oligopoly

• Perfect monopoly

The market structure that involves many buyers and sellers with identical products is called (a)   .

• Perfect competition
• Monopolistic competition
• Oligopoly
• Perfect monopoly

What is a key feature of monopolistic competition?

• No brand names

• Product differentiation

• Single seller

• Few sellers

(a)   has relatively few sellers, often up to 8 or 10.

• Perfect competition
• Monopolistic competition
• Oligopoly
• Perfect monopoly

In which market structure do sellers often watch their rivals when setting prices?

• Perfect competition

• Monopolistic competition

• Oligopoly

• Perfect monopoly

Which market structure allows for ease of entry and exit by firms?

• Perfect competition

• Monopolistic competition

• Oligopoly

• Perfect monopoly

Which market structure is characterized by strong competition and no brand names?

• Perfect competition

• Monopolistic competition

• Oligopoly

• Perfect monopoly

Which market structure is associated with high start-up costs and barriers to entry?

• Perfect competition

• Monopolistic competition

• Oligopoly

• Perfect monopoly