U2 The Market & Trade Vocab Review

What is the term for a market structure characterized by one producer with a unique product and very high barriers to entry?

• Pure Competition

• Monopoly

• Monopolistic Competition

• Oligopoly

Which term describes the total amount of goods and services consumers are willing to buy at various prices?

• Market

• Equilibrium Price

• Demand

• Supply

What is the condition called when someone can produce goods and services cheaper than other producers?

• Absolute Advantage

• Comparative Advantage

• Equilibrium Price

• Specialization

Which market structure is characterized by many producers supplying similar but varied products with few barriers to entry?

• Monopolistic Competition

• Oligopoly

• Monopoly

• Pure Competition

What is the name of the agreement between Canada, the United States, and Mexico that went into effect on January 1st, 1994?

• MERCOSUR

• ASEAN

• EU

• NAFTA

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

Which market structure is characterized by a large number of small firms, identical products, and easy entry for new firms?

• Monopoly

• Oligopoly

• Perfect competition

• Monopolistic competition

Which economic concept describes the situation where the quantity supplied equals the quantity demanded at a particular price?

• Price Ceiling

• Shortage

• Surplus

• Market Equilibrium

Which economic term describes the cost of the next best alternative foregone when making a decision?

• Marginal Cost

• Variable Cost

• Fixed Cost

• Opportunity Cost

What is the term for a situation where the government sets a maximum price that can be charged for a product or service?

• Price Floor

• Price Ceiling

• Subsidy

• Tax