This quiz works best with JavaScript enabled. Home > Economics > Market Dynamics > Market Structures > Market Structures – Quiz 21 🏠 Homepage 📘 Download PDF Books 📕 Premium PDF Books Market Structures Quiz 21 (20 MCQs) Quiz Instructions Select an option to see the correct answer instantly. 1. A market is A) Where goods/services are exchanged by buyers/sellers. B) Anything that prevents the flow of goods and services imported. C) The ability to produce more of a product than another country using the same resources. D) The ability to produce a product with lower opportunity costs than another country. Show Answer Correct Answer: A) Where goods/services are exchanged by buyers/sellers. 2. Fixed costs change with the amount of output for a business. A) True. B) False. C) It depends on the type of business . D) None of above. Show Answer Correct Answer: B) False. 3. It is the oldest form of business organization and the most common A) Sole proprietorship. B) Partnership. C) Corporation. D) None of above. Show Answer Correct Answer: A) Sole proprietorship. 4. Which one of these government actions is NOT part of Regulation? A) Eliminating licenses and other barriers to entry. B) Breaking up monopolies and trusts. C) Blocking mergers that may create unfair market conditions. D) Challenging business practices that limit competition. Show Answer Correct Answer: A) Eliminating licenses and other barriers to entry. 5. Public utilities are an example of a ..... monopoly. A) Technological. B) Natural. C) Government. D) Geographic. Show Answer Correct Answer: B) Natural. 6. Which is NOT considered an unfair business practice? A) Price fixing. B) Market allocation. C) Predatory pricing. D) Competitive pricing. Show Answer Correct Answer: D) Competitive pricing. 7. Reduced or removes government control of business A) Regulation. B) Deregulation. C) Public Disclosure. D) Market Structure. Show Answer Correct Answer: B) Deregulation. 8. It is the impact of one's behavior on a bystander. A) Demerit good. B) Negative externality. C) Positive externality. D) Externality. Show Answer Correct Answer: D) Externality. 9. The disadvantages of this business organization include unlimited liability, difficulty raising financial capital, difficulty attracting qualified employees, and having a limited life A) Sole Propriotorship. B) Partnership. C) Corporation. D) None of above. Show Answer Correct Answer: A) Sole Propriotorship. 10. What is the main difference between monopolistic competition and oligopoly? A) The prices. B) The barriers to enter facing new firms. C) Advertising. D) Monopoly. Show Answer Correct Answer: B) The barriers to enter facing new firms. 11. In this market structure there are many buyers and sellers with identical products A) Perfect competition. B) Monopolistic competition. C) Monopoly. D) Oligopoly. Show Answer Correct Answer: A) Perfect competition. 12. Pure competition and monopoly are ..... A) The same. B) Almost the same. C) Should not be compared. D) Opposites. Show Answer Correct Answer: D) Opposites. 13. Government issued right to operate a business A) License. B) Franchise. C) Patent. D) Price discrimination. Show Answer Correct Answer: A) License. 14. The most extreme form of imperfect competition: A) Perfect Competition. B) Monopolistic Competition. C) Oligopoly. D) Monopoly. Show Answer Correct Answer: D) Monopoly. 15. Which is not a supply side Non-Price Factor? A) All of the above. B) Price of Substitutes. C) Price of Complementary Products. D) Consumer Sentiment. Show Answer Correct Answer: A) All of the above. 16. This market structure has many firms, identical products, no barriers to entry, & price takers A) Perfect Competition. B) Monopoly. Show Answer Correct Answer: A) Perfect Competition. 17. Which of the is an example of a legal monopoly? A) Yahoo. B) Prescription drugs. C) Disney World. D) None of above. Show Answer Correct Answer: B) Prescription drugs. 18. Which market structure did the DeBeers Diamond industry fall under? A) Monopoly. B) Oligopoly. C) Perfect Competition. D) Monopolistic Competition. Show Answer Correct Answer: A) Monopoly. 19. As the price goes up, what happens to the quantity demanded? A) Increases. B) Decreases. Show Answer Correct Answer: B) Decreases. 20. One of the defining characteristics of a perfectly competitive market is ..... A) A small number of sellers. B) A large number of buyers and a small number of sellers. C) An identical product. D) Significant advertising by firms to promote their products. Show Answer Correct Answer: C) An identical product. ← 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