This quiz works best with JavaScript enabled. Home > Economics > Market Dynamics > Market Structures > Market Structures – Quiz 48 🏠 Homepage 📘 Download PDF Books 📕 Premium PDF Books Market Structures Quiz 48 (20 MCQs) Quiz Instructions Select an option to see the correct answer instantly. 1. In a perfect competition all the sellers of the market are small sellers in competition with each other. A) True. B) False. Show Answer Correct Answer: A) True. 2. Combination of two or more companies into a single firm A) Merger. B) Buy out. C) Take over. D) Horizontal merger. Show Answer Correct Answer: A) Merger. 3. In this market, one firm controls the market, there are very high barriers to entry, price makers, & there are no available substitutes A) Perfect Competition. B) Oligopoly. C) Monopoly. D) None of above. Show Answer Correct Answer: C) Monopoly. 4. Philip's Phantastic Pharmaceuticals (PPP), Inc. currently has a patent-and therefore a monopoly-on the market for a drug called spazoprolam. After PPP's patent expires and the market for spazoprolam becomes perfectly competitive, the price of spazoprolam will most likely ..... and the quantity sold will most likely ..... A) Fall; fall. B) Rise; rise. C) Rise; fall. D) Fall; rise. Show Answer Correct Answer: D) Fall; rise. 5. The public interests is A) The concerns of the public as a whole. B) The right to buy and sell goods. C) The right of individuals to have safe products. D) A property right guaranteed by law. Show Answer Correct Answer: A) The concerns of the public as a whole. 6. SSEMI3 b If you live in Augusta/Richmond County and do not have a well system, then you are on city water and sewer. This is an example of a A) Monopoly. B) Oligopoly. C) Monopolistic Competition. D) Perfect Competition. Show Answer Correct Answer: A) Monopoly. 7. In monopolistic competition firms profit maximize where: A) Marginal revenue = Average revenue. B) Marginal revenue = Marginal cost. C) Marginal revenue = Average cost. D) Marginal revenue = Total cost. Show Answer Correct Answer: B) Marginal revenue = Marginal cost. 8. Reducing or eliminating government control of business is called A) Deregulation. B) Cease and desist. C) Disclosure. D) Discrimination. Show Answer Correct Answer: A) Deregulation. 9. Which of the following is the least competitive market structure? A) Perfect competition. B) Monopolistic competition. C) Oligopoly. D) Monopoly. Show Answer Correct Answer: D) Monopoly. 10. Which of the following correctly orders market structures from least efficient to most efficient? (Keep in mind that all options may be inefficient.) A) Oligopoly-monopoly-monopolistic competition. B) Monopoly-oligopoly-monopolistic competition. C) Monopoly-mopolistic competition-oligopoly. D) Monopolistic competition-oligopoly-monopoly. Show Answer Correct Answer: B) Monopoly-oligopoly-monopolistic competition. 11. Follows these conditions:few sellers; high barriers to enter market; some control over the price; some differentiated products A) Perfect competition. B) Monopolistic competition. C) Oligopoly. D) Monopoly. Show Answer Correct Answer: C) Oligopoly. 12. The market for crude oil is an example of an oligopolistic market A) TRUE. B) FALSE. Show Answer Correct Answer: A) TRUE. 13. A shared good/service that government builds because it would be impractical for an individual A) Private good. B) Public good. C) Military good. D) Market failure. Show Answer Correct Answer: B) Public good. 14. ..... affects BOTH quantity demanded and quantity supplied, as it causes movement ALONG the curve. A) Price. B) Savings. C) Entrepreneurship. D) Land. Show Answer Correct Answer: A) Price. 15. This allows an inventor exclusive rights to make and sell his or her invention. Other producers may apply for a license for a fee. A) Patent. B) Bill of Attainder. C) Patience. D) Mortgage. Show Answer Correct Answer: A) Patent. 16. Characteristics of equilibrium include A) Where supply and demand intersect. B) Where QS = QD. C) No shortage and no surplus. D) All of these. Show Answer Correct Answer: D) All of these. 17. What is 111-26 = A) 86. B) 85. C) 137. D) 95. Show Answer Correct Answer: B) 85. 18. Why are geographic monopolies common in small towns? A) Small towns can't afford police security for new shops. B) Small towns usually have just one seller of a given item. C) The residents of small towns vote against having new shops. D) The residents of small towns don't want jobs from new shops. Show Answer Correct Answer: B) Small towns usually have just one seller of a given item. 19. Sells Identical products A) Perfect Competition. B) Monopolistic Competition. C) Oligopoly. D) Monopoly. Show Answer Correct Answer: A) Perfect Competition. 20. If the cross-price elasticity between two commodities is 1.5, A) The two goods are luxury goods. B) The two goods are complements. C) The two goods are substitutes. D) The two goods are normal goods. Show Answer Correct Answer: C) The two goods are substitutes. ← 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