This quiz works best with JavaScript enabled. Home > Economics > Market Dynamics > Market Structures > Market Structures – Quiz 20 🏠 Homepage 📘 Download PDF Books 📕 Premium PDF Books Market Structures Quiz 20 (20 MCQs) Quiz Instructions Select an option to see the correct answer instantly. 1. Labor, Capital, Natural Resources A) Ethics. B) Economics. C) Factors of Production. D) Gross Domestic Product (GDP). Show Answer Correct Answer: C) Factors of Production. 2. Mammoth Inc. sells computers in a monopoly market.Which of the following is true about this market? A) There is a single firm selling a product with no close substitutes. B) There are no, or low, barriers to entry in this market. C) Price equals marginal revenue. D) The firm earns zero economic profit in the long run. E) The seller can charge any price they want. Show Answer Correct Answer: A) There is a single firm selling a product with no close substitutes. 3. Which of the following is NOT a characteristic of a monopoly? A) Barriers to entry. B) One seller. C) One buyer. D) A product without close substitutes. Show Answer Correct Answer: C) One buyer. 4. Monopolistic competition is characterized by A) A large number of firms.Easy entry into the industry. Differentiated products. B) A large number of firms.Easy entry into the industry. Similar products. Show Answer Correct Answer: A) A large number of firms.Easy entry into the industry. Differentiated products. 5. In this market, there is no entry possible: A) Perfect competition. B) Monopolistic competition. C) Oligopoly. D) Monopoly. Show Answer Correct Answer: D) Monopoly. 6. Price elasticity of supply is the responsiveness of A) Demand to a change in price. B) Price to a change in supply. C) Quantity supplied to a change in price. D) Price to a change in supply. Show Answer Correct Answer: C) Quantity supplied to a change in price. 7. An agreement among firms to charge one price for the same good A) Price fixing. B) Collusion. C) Price discrimination. D) Cartel. Show Answer Correct Answer: A) Price fixing. 8. The Demand Curve has moved right. Where is the new equilibrium price and quantity? A) Higher, higher. B) Lower, lower. C) Lower, higher. D) Higher, lower. Show Answer Correct Answer: A) Higher, higher. 9. SSEMI3 The Board of Directors of a corporation is elected by who? A) Shareholders. B) CEO. C) Principal. D) None of the above. Show Answer Correct Answer: A) Shareholders. 10. The Organization for Petroleum Exporting Countries often uses their market power tobenefit themselves at the expense of the rest of the world. These 13 countriescontrol 73% of the world's oil reserves and 40% of total world oil production. Thenations meet annually to discuss how much oil they will produce that year and whothey will sell it to, which strongly determines the price of oil in the entire globaleconomy. In 1973 OPEC set an embargo on oil exports to the United States cripplingthe American economy.How would you characterize the oil market? A) Perfect Competition. B) Monopolistic Competition. C) Oligopoly. D) Monopoly. Show Answer Correct Answer: C) Oligopoly. 11. Which of these isn't a condition of perfect competition? A) Many buyers and sellers. B) Identical products. C) Difficult entry and exit from market. D) None of above. Show Answer Correct Answer: C) Difficult entry and exit from market. 12. Division of customers into groups based on how much they will pay for a good A) Price discrimination. B) Price fixing. C) Grouping. D) Proportional payments. Show Answer Correct Answer: A) Price discrimination. 13. The benefit or satisfaction gained from using a good or a service is called A) Goods. B) Incentives. C) Producer. D) Utility. Show Answer Correct Answer: D) Utility. 14. Water has seen an increase in demand 8% this summer, while the price has decreased 12% A) 1.5 inelastic. B) 1.5 elastic. C) .67 inelastic. D) .67 elastic. Show Answer Correct Answer: C) .67 inelastic. 15. Many sellers, differentiated products A) Perfect Competition. B) Monopolistic Competition. C) Oligopoly. D) Monopoly. Show Answer Correct Answer: B) Monopolistic Competition. 16. When a major car company lowers its prices, other car makers will probably A) Maintain existing prices. B) Go out of business. C) Raise their prices. D) Lower their prices. Show Answer Correct Answer: D) Lower their prices. 17. If you buy abondfrom a corporation, you A) Are one of the company's many owners. B) Benefit only if the company earns a profit. C) Are a creditor of the corporation-you have loaned the company money. D) Are an investment banker. Show Answer Correct Answer: C) Are a creditor of the corporation-you have loaned the company money. 18. Pure / perfect competition and monopolistic competition are the same because ..... A) They have unique products. B) The have identical products. C) They have many buyers and sellers. D) They have many buyers. Show Answer Correct Answer: D) They have many buyers. 19. Type of Monopoly is based on Laws and regulations A) Natural. B) Government. C) Technological. D) Geographic. Show Answer Correct Answer: B) Government. 20. How many different types of monopolies are there? A) 10. B) 4. C) 5. D) 8. Show Answer Correct Answer: B) 4. ← PreviousNext →Related QuizzesMarket Dynamics QuizzesEconomics QuizzesMarket Structures Quiz 1Market Structures Quiz 2Market Structures Quiz 3Market Structures Quiz 4Market Structures Quiz 5Market Structures Quiz 6Market Structures Quiz 7Market Structures Quiz 8 🏠 Back to Homepage 📘 Download PDF Books 📕 Premium PDF Books