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WorksheetsChapter 7 - Market Structures
Total questions: 26
Worksheet time: 13mins
Market structure characterized by a single producer in a market
Oligopoly
Purely Competitive
Monopoly
Monopolistic competition
Market structure in which only a few large sellers dominate and have ability to affect prices in an industry
Oligopoly
Purely Competitive
Monopoly
Monopolistic competition
Market structure having all conditions of perfect competition except for identical products
Oligopoly
Purely Competitive
Monopoly
Monopolistic competition
Theoretical market structure that requires three conditions: very large numbers, identical products, and freedom of entry and exit
Oligopoly
Perfectly Competitive
Monopoly
Monopolistic competition
Process in which a lender reclaims housing property due to a lack of payment by the borrower
foreclosure
reposession
redemption
vengence
Perfect competition and monopoly _________
are the same
are almost the same
are opposites
should not be compared
When a factory pollutes a river, the resulting water pollution is an example of a ________.
technological monopoly
public good
negative externality
neutral spillover effect
Which is an example of a public good?
a rock band
a car
national defense
bread
Which industry would fall into the oligopoly market structure?
soft drinks
fast food
retail stores
energy companies
Which of the following is a form of product differentiation?
Flame grilling a burger
Adding a "secret" sauce
Using a sesame seed bun
All of these
Because firms in a perfectly competitive market have to sell at equilibrium, they are _________.
price takers
price searchers
price givers
price setters
Which of the following is not a type of legal monopoly?
Natural monopoly
Geographic monopoly
Government monopoly
Standard Oil
How are people's inventions protected?
Copyrights
Public franchise
Patents
Seals
Which of the following would be considered an "unfair" business method?
Price-cutting
Discounts
Competitive pricing
Product differentiation
How does the government try and prevent negative externalities?
Taxation
Subsidies
Shutting down those businesses
Putting people in jail
A lone convenience store in a small town is an example of what?
Natural monopoly
Geographic monopoly
Government monopoly
Technological monopoly
In order for something to be considered a public good, two things must be true: the good must be non-rivalry and what?
non exclusionary
free
non taxable
non interferring
Which market structure does Game Theory apply to?
Monopoly
Oligopoly
Pure Competition
Monopolistic Competition
Why are cartels nonbinding in the U.S.A.?
They're illegal
They're dangerous
They're not used
They're too competitive
Which of the following is NOT one of the reasons why markets fail?
Resources that can't or won't move
Not enough competition
Not enough information
Too much competition
Which of the following is an example of a positive externality?
Air pollution from factories
Noise from construction
Education benefits to society
Traffic congestion
What role does government play in correcting market failures?
No role, as market failures correct themselves.
Providing public goods and services.
Only regulating common access resources.
Regulating externalities, providing public goods, and managing common resources.
A ‘sugar tax’ is designed to address which of the following types of market failures?
Negative externalities in production
Public Goods
Positive externalities in consumption
Negative externalities in consumption
Competition forces businesses to search for new ways to satisfy customers' wants and needs.
True
False
Which of following is an example of a free-rider?
A tax-payer using the new nicely paved road
A group member who did their part gets a good grade on a project
Someone watching a fireworks show without providing a donation for it
An individual eating a candy bar they paid for
A dog park that becomes unusable because of people not picking up after their pets and assuming someone else will clean it up is an example of what phenomenon?
Free-rider problem
Tragedy of the Commons
Positive externality
Negative externality
