This quiz works best with JavaScript enabled. Home > Economics > Market Dynamics > Market Structures > Market Structures – Quiz 25 🏠 Homepage 📘 Download PDF Books 📕 Premium PDF Books Market Structures Quiz 25 (20 MCQs) Quiz Instructions Select an option to see the correct answer instantly. 1. In a sole proprietorship, liability is A) General. B) Limited. C) Unlimited. D) There is no liability. Show Answer Correct Answer: C) Unlimited. 2. The federal law that first outlawed price discrimination was the A) Federal Trade Commission Act. B) Clayton Antitrust Act. C) Sherman Antitrust Act. D) Robinson-Patman Act. Show Answer Correct Answer: B) Clayton Antitrust Act. 3. Markets where many businesses sell the same products A) Perfect competition. B) Monopolistic competition. C) Oligopoly. D) Monopoly. Show Answer Correct Answer: A) Perfect competition. 4. The government's job in a free market economy is to A) Tell people and business what to do. B) Control who buys what. C) Control who sells what. D) Make sure all businesses are run fairly. Show Answer Correct Answer: D) Make sure all businesses are run fairly. 5. Identify type of monopoly:Public utilities A) Natural Monopoly. B) Technological Monopoly. C) Geographical Monopoly. D) Government Monopoly. Show Answer Correct Answer: A) Natural Monopoly. 6. Business model in which profits are taxed when they are earned and again when they are paid out to owners. A) Sole proprietorship. B) Partnership. C) Corproation. D) None of above. Show Answer Correct Answer: C) Corproation. 7. Few sellers and many buyers is characteristic of A) Monopoly. B) Monopolistic competition. C) Oligopoly. D) None of above. Show Answer Correct Answer: C) Oligopoly. 8. Which allows increasing returns to occur with production? A) Increasing costs. B) Worker specialization. C) Underutilization. D) Fixed resources. Show Answer Correct Answer: B) Worker specialization. 9. The unemployment rate has decreased.9% in the last year, meaning that more individuals are either finding work or have given up looking for jobs. Is this a microeconomic issue or macroeconomic? A) Microeconomic. B) Macroeconomic. Show Answer Correct Answer: B) Macroeconomic. 10. Public utilities are an example of? A) A competitive market. B) Natural Monopoly. C) Monopolistic power. D) Oligopoly. Show Answer Correct Answer: B) Natural Monopoly. 11. Which statement below is NOT true about monopolies A) All monopolies are harmful. B) Businesses in monopolies are 'Price Makers'. C) Only one seller sells a product with no close substitutes. D) The least competitive market structure is a monopoly. Show Answer Correct Answer: A) All monopolies are harmful. 12. Which of the following can be done by the government to discourage the use of demerit goods? A) Impose a higher tax on these goods. B) Set a minimum age for the consumption of these goods. C) Inform the people about the negative effects of consuming these good. D) Impose a total ban on the production & consumption of these goods. Show Answer Correct Answer: D) Impose a total ban on the production & consumption of these goods. 13. Collusion and price fixing can become a problem in this type of market structure A) Monopoly. B) Oligopoly. C) Monopolistic Competition. D) Perfect Compeition. Show Answer Correct Answer: B) Oligopoly. 14. Which market structure involves selling "similar" products and there are SEVERAL firms involved. A) Perfect Competition. B) Monopoly. C) Oligopoly. D) Monopolistic Competition. Show Answer Correct Answer: D) Monopolistic Competition. 15. What is a characteristic of a perfectly competitive market? A) Producers have market power. B) Products are unique. C) Entry into the industry is difficult. D) Products are identical. Show Answer Correct Answer: D) Products are identical. 16. If Amazon pays workers $ 15/hour, higher than competitors, how would they feel about increasing minimum wage to $ 15/hr? A) Favor the new regulation. B) Oppose the new regulation. Show Answer Correct Answer: A) Favor the new regulation. 17. Which planet is the smallest? A) Mars. B) Venus. C) Mercury. D) Saturn. Show Answer Correct Answer: C) Mercury. 18. SSEMI3 Which business organization is a firm legally owned by two or more people? A) Sole Proprietorship. B) Corporation. C) Partnership. D) Oligopoly. Show Answer Correct Answer: C) Partnership. 19. What do oligopolies and monopolistically competitive markets have in common? A) Both have low barriers to entry. B) Many sellers. C) Both have some control over the price. D) All businesses are corporations. Show Answer Correct Answer: C) Both have some control over the price. 20. It has four categories:natural, geographic, technological, government A) Perfect Competition. B) Monopolistic Competition. C) Oligopoly. D) Pure Monopoly. Show Answer Correct Answer: D) Pure Monopoly. ← 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