WorksheetsMarket
Total questions: 69
Worksheet time: 52mins
Name
Class
Date
1.
In perfect competition, the product is differentiated
a)
True
b)
False
2.
In monopolistic competition there are many buyers and sellers
a)
True
b)
False
3.
Non-price competition is the use of ads, giveaways, or promotions to win customers
a)
True
b)
False
4.
In which market structure is there the LEAST competition?
a)
Monopoly
b)
Oligopoly
c)
Monopolistic Competition
d)
Perfect Competition
5.
In which market structure is there the MOST competition?
a)
Monopoly
b)
Oligopoly
c)
Monopolistic Competition
d)
Perfect Competition
6.
Which type of market structures has many many producers(companies) that sell identical products and has no control over price?
a)
perfect competition
b)
monopolistic competition
c)
oligopoly
d)
monopoly
7.
Which type of market structures has very few producers(companies) that control the majority of the market?
Hint: think of the soda market
Hint: think of the soda market
a)
perfect competition
b)
monopolistic competition
c)
oligopoly
d)
monopoly
8.
The jeans industry would fall into what type of market structure? ( jeans are similar but there are some differences in the product)
a)
monopoly
b)
oligopoly
c)
perfect competition
d)
monopolistic competition
9.
Which scenario is an example of a monopoly?
a)
A local water company is the sole provider of water for a small town.
b)
A dry cleaner specializes in environmentally friendly cleaning methods.
c)
A farmer produces green beans for sale at a farmer's market.
d)
A small number of cereal companies produce most of the cereal on the market.
10.
In the 1990s, AT&T controlled 80% of the phone industry and was the ONLY provider of long distance phone service. This is an example of
a)
A monopoly
b)
Monopolistic Competition
c)
Perfect Competition
d)
Oligopoly
11.
This market structure has 3-4 firms who dominate 70-80% of the industry.
a)
Monopoly
b)
Monopolistic Competitio
c)
Perfect Competitio
d)
Oligopoly
12.
List the four market structures in order from least competitive to most competitive.
a)
Oligopoly, Monopoly, Perfect Competition, Monopolistic Competition
b)
Perfect Competition, Oligopoly, Monopoly, Monopolistic Competition
c)
Monopoly, Oligopoly, Monopolistic Competition, Perfect Competition
d)
Monopoly, Monopolistic Competition, Perfect Competition, Oligopoly
13.
What is not part of perfect competition?
a)
buyer/ seller are well informed
b)
sellers cannot enter/ exit market easily
c)
low prices
d)
few barriers of entry
14.
When a major car company lowers its prices, other car makers will probably
a)
maintain existing prices.
b)
raise their prices.
c)
go out of business.
d)
lower their prices.
15.
Perfect competition is characterized by
a)
a large number of sellers and buyers.
b)
diverse products.
c)
sellers acting together to set prices.
d)
uninformed buyers and sellers.
16.
The effort by sellers to secretly set production levels or prices is called
a)
collusion
b)
price leadership
c)
compliance
d)
nonprice competition
17.
ABC, CBS, FOX and NBC are a great example of this market structure
a)
Perfect Competition
b)
Imperfect Competition
c)
Oligopoly
d)
Monopoly
18.
Which best describes a public good?
a)
A good provided by the government
b)
A good purchased by individuals
c)
A good that exists only in a free market
d)
A good that produces no externalites
19.
A market failure is best described as
a)
The idea that market forces of supply and demand always provide the maximum benefit for society
b)
The idea that market forces of supply and demand do not always provide the maximum benefit for society
c)
The concept that a decision made by one party can have negative effects on another party
d)
The concept that a decision made by one party can have positive effects on another party
20.
The following statements are true of government regulations except
a)
They limit economic freedom
b)
They seek to limit negative externalities
c)
They exist to protect consumers
d)
They are always popular with private businesses
21.
Which is not an example of a government safety net?
a)
Unemployment Insurance
b)
Social Security
c)
Consumer Safety
d)
Medicaid
22.
Which is not an example of a public good?
a)
Legacy High School
b)
Big Dry Creek Open Space
c)
Target
d)
Broomfield Water
23.
Safety nets, in the context of market failure, are
a)
Goods that are not safe, equitable, and profitable in the market
b)
Designed to minimize external costs and shift the costs back to the producers
c)
Payments given by the government to private companies as an incentive for them to produce a certain good
d)
Programs that help people who are struggling
24.
Government regulations exist to
a)
Increase economic freedom
b)
Protect consumers from negative externalities
c)
Punish people who intervene in the free market
d)
Provide incentives to privatize
25.
Government regulation may negatively affect businesses in the following ways by
a)
Increasing input costs
b)
Increasing profits
c)
Lowering consumer prices
d)
All of the above
26.
Private businesses cannot always provide goods and services
a)
Profitably
b)
Fairly
c)
Safely
d)
All of the above
27.
The ups and downs of the economy, which the government must sometimes step in to stabilize due is known as the
a)
Regulatory cycle
b)
Business cycle
c)
Fiscal Policy
d)
Monetary Policy
28.
Which is not an example of a publicly owned industry intended to provide goods and services more efficiently to the public?
a)
Postal service
b)
Public transportation
c)
Airline industry
d)
Utilities such as gas, water, electric
29.
Market failures occur when
a)
the accumulation of wealth in the free market is shared between a large group of people
b)
a command economy increases production
c)
the economy has a strong GDP and low interest rates
d)
the distribution of goods and services in the free market is not efficient and leads to loss of social wellbeing
30.
When quantity demand smaller than quantity supply the price will usually?
a)
increase
b)
decrease
c)
remain the same
d)
equilibrium
31.
What is the Equilibrium Price?
a)
1
b)
2
c)
3
d)
4
32.
What is the Equilibrium Quantity?
a)
50
b)
60
c)
70
d)
80
33.
When quantity supplied is smaller than quantity demanded, you have a ____________.
a)
shortage
b)
surplus
c)
deficit
d)
equilibrium
34.
Point at which supply and demand curve intersect each other
a)
price ceiling
b)
excess demand
c)
equilibrium
d)
disequilibrium
35.
Equilibrium price is the price at which the quantity of a product demanded by consumers and the quantity supplied by producers
a)
are different.
b)
are equal.
c)
is higher for the product demanded.
d)
is higher for the product supplied.
36.
What is the equilibrium quantity in this graph?
a)
$1.50
b)
$1.00
c)
600
d)
800
37.
Equilibrium in a market means which of the following?
a)
the point at which quantity supplied and quantity demanded are the same
b)
the point at which unsold goods begin to pile up
c)
the point at which suppliers begin to reduce prices
38.
The demand function and supply function for a good in the market are as follows:
Qd = 140 - 10p
Qs = 20 + 10p
What is the Pe?
a)
Rm60
b)
Rm80
c)
Rm8
d)
Rm6
39.
The demand function and supply function for a good in the market are as follows:
Qd = 140 - 10p
Qs = 20 + 10p
What is the Qe?
a)
80
b)
200
c)
60
d)
220
40.
In a general partnership,
a)
the business continues even if one partner dies
b)
partners must pay specific business taxes on stock they issue
c)
partners usually draw up legal papers called articles of partnership.
d)
partners are only liable for the business' debt up to the amount of their investment
41.
An advantage of a corporation is that
a)
owners pay fewer taxes than owners of other forms of business.
b)
the business is subject to little government regulation.
c)
owners have limited liability for debt.
d)
owners have direct and immediate control over daily management of the business.
42.
Perfect competition is characterized by
a)
a large number of sellers and buyers.
b)
diverse products.
c)
sellers acting together to set prices.
d)
uninformed buyers and sellers.
43.
A monopoly that is based on the ownership or control of a manufacturing method, process, or other scientific advance is a
a)
geographic monopoly
b)
natural monopoly
c)
government monopoly
d)
technological monopoly
44.
Under perfect competition,
a)
products are similar but not identical.
b)
numerous restrictions prevent firms from entering the market.
c)
no seller can sell a product above the prevailing market price.
d)
a single seller can affect price.
45.
When a major car company lowers its prices, other car makers will probably
a)
maintain existing prices.
b)
raise their prices.
c)
go out of business.
d)
lower their prices.
46.
A market structure in which one firm has a monopoly because of its location is a
a)
natural monopoly.
b)
geographic monopoly.
c)
technological monopoly.
d)
government monopoly.
47.
Barry and two associates have been operating a business that is not going well. Barry is stressed out because the company is over $200,000 in debt and he knows that if it goes out of business, he and his two associates will have to pay it out of their own pockets. It sounds like Barry and his two associates have a
a)
partnership.
b)
corporation.
c)
sole proprietorship.
d)
stock.
48.
Susan, Phil, Robert, and Martina are all lawyers. After several years of working for big firms, they decide to pull their resources and start their own law practice together. The four of them will make all their business decisions together and will share all of the profits and financial risk. Their new law firm is a
a)
partnership
b)
corporation
c)
sole proprietorship
d)
monopoly
49.
Mr. Simpson is liable for all the debts of his company. Mr.Simpson has which type of business organization?
a)
sole proprietorship
b)
monopoly
c)
perfect competition
d)
corporation
50.
Which market has no competition?
a)
perfect competition
b)
oligopoly
c)
monopoly
d)
monopolistic competition
51.
Which market structure is BEST indicated by the soda market?
a)
monopoly
b)
pure competition
c)
oligopoly
d)
natural monopoly
52.
If Mark Etts expresses a desire to sell his corn at a local farmer's market, he must be aware that the product is standardized and that he will have no control over the price. The market structure he is MOST likely participating in is
a)
monopolistic competition
b)
oligopoly
c)
perfect competition
d)
monopoly
53.
Ramon decided to open his own software business. He borrowed money from a bank to buy computers and office equipment, and he hired one assistant. What is one DISADVANTAGE of Ramon's type of business organization?
a)
limited liability
b)
ease of start-up
c)
flexibility
d)
unlimited liability
54.
Which scenario is an example of a monopoly?
a)
A local water company is the sole provider of water for a small town.
b)
A dry cleaner specializes in environmentally friendly cleaning methods.
c)
A farmer produces green beans for sale at a farmer's market.
d)
A small number of cereal companies produce most of the cereal on the market.
55.
A market structure in which only one producer supplies a good that is in demand is called a
a)
monopoly.
b)
oligopoly.
c)
competition.
d)
monopolistic competition.
56.
Which type of business organization has the advantage of limited liability but the disadvantage of less control over business decisions?
a)
perfect competition
b)
partnership
c)
sole proprietorship
d)
corporation
57.
The MOST LIKELY reason for an entrepreneur to start a new business is
a)
to make a profit.
b)
to risk financial failure.
c)
to create a new social benefit.
d)
to discover a new product.
58.
An industry that is dominated by a few large firms is
a)
monopolistic competition.
b)
a monopoly.
c)
perfect competition.
d)
an oligopoly.
59.
Bernice owns her own local gift shop. She acquired the necessary loans to open it, assumes all the financial risk herself, and makes all the decisions. It sounds like Bernice's business is a/an
a)
partnership
b)
franchise
c)
corporation
d)
sole proprietorship
60.
Satisfying customer needs/wants while making a profit
a)
Marketing Mix
b)
Marketing Concept
c)
Market
d)
Target Market
61.
Another name for the 4 P's of Marketing
a)
Target Market
b)
Marketing Concept
c)
Marketing Mix
d)
Marketing
62.
Deciding how much to make/sell would be:
a)
Product
b)
Price
c)
Place
d)
Promotion
63.
____________ relates to distribution of products.
a)
Product
b)
Price
c)
Place
d)
Promotion
64.
Creating a new commercial would be:
a)
Product
b)
Price
c)
Place
d)
Promotion
65.
A _______________ business focuses on customer needs/wants. They also conduct research to determine preferences.
a)
Product oriented
b)
Marketing oriented
c)
Industrial
d)
Consumer
66.
Potential customers with common needs/wants and have the ability to purchase these items.
a)
Market
b)
Target Market
c)
Marketing Concept
d)
Marketing Mix
67.
B2B describes:
a)
Consumer markets
b)
Industrial markets
c)
Target markets
d)
Market oriented business
68.
Apple holds 78% of the market __________
a)
Share
b)
Percentage
c)
Growth
d)
Competition
69.
Which two factors of SWOT are INTERNAL?
a)
Strengths, weaknesses
b)
Strengths, threats
c)
Weaknesses, opportunities
d)
Opportunities, threats
100 %
