Micro Review (Quiz 3 and Mid-term)

Given the demand schedule, what is the maximum revenue a firm could receive in this market?

Given the demand schedule, in an oligopoly with 3 firms, how much Q should each company produce to maximize industry returns?

Given the demand schedule, in a duopoly, how much more revenue would each firm receive from colluding when compared to producing for maximum individual firm benefit?

In which market structures is MC < P? (3 answers)

• Perfect Competition

• Monopolistic Competition

• Oligopoly

• Monopoly

• All of these

In which market structures is it possible to earn positive economic profit in the short run?

• Perfect Competition

• Monopolistic Competition

• Oligopoly

• Monopoly

• All of these

In which market structures, are products NEVER differentiated? (2 answers)

• Perfect Competition

• Monopolistic Competition

• Oligopoly

• Monopoly

• All of these

In which market structures are there only a few producer?

• Perfect Competition

• Monopolistic Competition

• Oligopoly

• Monopoly

• All of these

When firms in an oligopoly market structure collude to keep prices high and quantity low, they form what is known as a?

A _____ monopoly arises when the ATC curve of a firm continues to decrease as the quantity produced rises.

Economies of scale occur when the effects of lowering _____ costs is greater than the effects of rising _____ costs. (ex: a ; b)