WorksheetsPerfect Competiton
Total questions: 7
Worksheet time: 5mins
What is a perfect competition?
All firms are selling similar products and some firms are price takers.
All firms are selling similar products and all firms are price takers.
All firms are selling similar products and some firms are price makers.
all firms are selling different products and all firms are price makers.
What is 1 sample scenario of a perfect competition?
Airline Industries
Fast Food Restaurants
Soda Companies
Farmer's Market
None of the above
What are types of product sold in a perfect competition?
homogeneous products
different products
both homogeneous and different products
none of the above
What does allocation efficiency mean?
Product is produced at the minimum average total cost
Amount of out put that can be gained from a given input
Total cost is equal to total revenue
Marginal social benefit equals to marginal social cost
What is productive efficiency?
Marginal social benefit is equal to marginal social cost
The service/product is produced at the minimum average total cost
The product is produced at the maximum average total cost
None of the above
In a perfect competition, when will a firm shut down?
The average revenue is greater or equal to the average variable cost
A firm earns zero profit
The average total cost is greater than the marginal revenue
The marginal revenue is greater than the average total cost
What is technical efficiency?
The amount of output that can be gained from a given input.
The total cost of production
The firm's average cost is greater than the potential cost
all of the above
