Market Structure

Perfect Competition is characterized by have a ____ number of sellers.

• small

• average

• large

Is there any product differentiation in perfect competition?

• yes

• no

Is it easy or difficult for firms to enter and leave the industry under perfect competition?

• easy

• difficult

How much influence over price does a firm in perfect competition have?

• none

• limited

• some

• extensive

What do we call a market structure with only 1 producer?

• perfect competition

• monopolistic competition

• oligopoly

• monopoly

Are there any substitutes for a product that a monopoly produces?

• yes

• no

The entry into a monopoly market structure is easy.

• true

• false

What kind of influence over price does a monopoly have?

• none

• limited

• some

• extensive

In monopolistic competition products are not identical.

• true

• false

Monopolistic Competition gives firms a small amount of market power or influence over price because of ____.

• all products being the same

• all products costing the same

• product differentiation

• advertising