This quiz works best with JavaScript enabled. Home > Economics > Market Dynamics > Market Structures > Market Structures – Quiz 51 🏠 Homepage 📘 Download PDF Books 📕 Premium PDF Books Market Structures Quiz 51 (20 MCQs) Quiz Instructions Select an option to see the correct answer instantly. 1. Two or more individuals own and operate this type for business for their own profit A) Sole proprietorship. B) Partnership. C) Corporation. D) None of above. Show Answer Correct Answer: B) Partnership. 2. The market for corn in Iowa would be considered ..... A) Monopolistic Competition. B) Monopoly. C) Perfect Competition. D) Oligopoly. Show Answer Correct Answer: C) Perfect Competition. 3. Why do firms use marketing? A) Convince customers that their products are worth the price. B) Influence a consumer's buying decision. C) Persuade buyers that their products is superior than others. D) All of these. Show Answer Correct Answer: D) All of these. 4. ..... studies the national economy and global economy. In this area, we look at unemployment rates, taxes, and inflation and how those impact the economy as a whole. A) Microeconomics. B) Socialism. C) Communism. D) Macroeconomics. Show Answer Correct Answer: D) Macroeconomics. 5. What is the term used to describe a situation where common goods are misused and exploited to further business interests? A) Fracking. B) Tragedy of the Commons. C) Nash equilibrium. D) Poaching. Show Answer Correct Answer: B) Tragedy of the Commons. 6. What is the difference between a monopoly and a perfect competition? A) Monopoly is a market structure with many sellers, while perfect competition has one seller. B) Monopoly is a market structure with no sellers, while perfect competition has many sellers. C) Monopoly is a market structure with one seller, while perfect competition has no sellers. D) Monopoly is a market structure with one seller, while perfect competition has many sellers. tagsSSEMI3. Show Answer Correct Answer: D) Monopoly is a market structure with one seller, while perfect competition has many sellers. tagsSSEMI3. 7. Jane and Jill run a photography business as a partnership. They are trying to decide if they wish to form a corporation. If they decide to incorporate, what will be a new disadvantage they will face? A) Ease of startup. B) Double taxation. C) Unlimited liability. D) Sharing of profits. Show Answer Correct Answer: B) Double taxation. 8. What are the features of monopolistic competition? A) Homogeneous products, no control over price, difficult entry and exit, price competition. B) Differentiated products, no control over price, easy entry and exit, price competition. C) Homogeneous products, some control over price, easy entry and exit, non-price competition. D) Differentiated products, some control over price, easy entry and exit, non-price competition. Show Answer Correct Answer: D) Differentiated products, some control over price, easy entry and exit, non-price competition. 9. ..... is when there are numerous buyers and sellers and no one has control over the price of the product. A) Monopoly. B) Oligopoly. C) Perfect Competition. D) Collusion. Show Answer Correct Answer: C) Perfect Competition. 10. This market has some 25-75 firms selling slightly differentiated products, some price control, & low barriers to entry A) Oligopoly. B) Monopoly. C) Monopolistic Competition. D) None of above. Show Answer Correct Answer: C) Monopolistic Competition. 11. This is an illegal grouping of companies that discourages competition. A) Trust. B) Merger. C) Microsoft. D) Ween. Show Answer Correct Answer: A) Trust. 12. The selllers in which market are price makers? A) Pure/Perfect Competition. B) Oligopoly. C) Monopoly. D) Monopolistic Competition. Show Answer Correct Answer: C) Monopoly. 13. Let it happen A) An economic theory that promotes government control of the economy. B) An economic theory that supports a mixed economy. C) An economic theory that advocates for complete government control of the economy. D) An economic theory that advocates for minimal government intervention in the economy. Show Answer Correct Answer: D) An economic theory that advocates for minimal government intervention in the economy. 14. A document which included the name, objectives, powers and registered address of a corporation is called ..... A) By-laws of corporation. B) Constitution of Corportation. C) Articies of Incorporation. D) Articles of Parnership. Show Answer Correct Answer: C) Articies of Incorporation. 15. What is a demerit good? A) A good or service that can bring about a positive or negative externality. B) A good or service that has a negative impact on the user, and a third party. C) A good or service that is prohibited or regulated by the government. D) A good or service that as a negative impact on the economy. Show Answer Correct Answer: B) A good or service that has a negative impact on the user, and a third party. 16. Which of the following is true regarding legal monopolies? A) They were created to stop innovation. B) They form due to natural barriers of entry. C) Government allows barriers to entry limit competition. D) None of above. Show Answer Correct Answer: C) Government allows barriers to entry limit competition. 17. A common disadvantage of a sole proprietorship is A) Difficulty starting the business. B) The limited life of the business. C) That the owner must share profits with others. D) Double taxation of earnings. Show Answer Correct Answer: B) The limited life of the business. 18. A game theorist's advice would be A) Competing to get what you want. B) Collaborating to get what you want. C) The best strategy does not exist. D) Trust your gut feelings. Show Answer Correct Answer: B) Collaborating to get what you want. 19. What is a key feature of monopolistic competition? A) High barriers to entry. B) Differentiated products. C) Identical products. D) Government regulation. Show Answer Correct Answer: B) Differentiated products. 20. In the circular flow model, which of the following owns the factors of production? A) Government. B) Only households. C) Only businesses. D) Both businesses and households. Show Answer Correct Answer: B) Only households. ← 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