This quiz works best with JavaScript enabled. Home > Economics > Market Dynamics > Market Structures > Market Structures – Quiz 68 🏠 Homepage 📘 Download PDF Books 📕 Premium PDF Books Market Structures Quiz 68 (20 MCQs) Quiz Instructions Select an option to see the correct answer instantly. 1. Which market structure is characterized by many firms selling differentiated products? A) Monopolistic competition. B) Monopoly. C) Perfect competition. D) Oligopoly. Show Answer Correct Answer: A) Monopolistic competition. 2. The attempt by firms to distinguish their goods and services from those of other firms A) Non price competition. B) Free Rider. C) Product differentiation. D) Monopolistic Competition. Show Answer Correct Answer: C) Product differentiation. 3. "In Belarus, the country north of Ukraine that has played a key role aiding Russia's attack, sanctions were applied to the country's authoritarian leader as well as his wife, Halina. They would block their property and interests in the United States, and prohibit Americans from engaging in transactions with them." Sanctions most nearly means: A) Economic penalties applied by one country to another. B) Violation of the laws of war that holds people who committed them responsible. C) A reward for countries committing war crimes against their citizens. D) Global financial system that allows the rapid transfer of money across borders. Show Answer Correct Answer: A) Economic penalties applied by one country to another. 4. What is the main barrier to entry in a monopoly? A) High barriers to entry. B) Moderate barriers to entry. C) No barriers to entry. D) Low barriers to entry. Show Answer Correct Answer: A) High barriers to entry. 5. A short time ago the economy was booming. Now, real GDP has declined for the last six months and businesses are cutting back their production and laying off workers. Which part of the business cycle best describes these events? A) Peak. B) Expansion. C) Recession. D) Trough. Show Answer Correct Answer: C) Recession. 6. Which of the following is a benefit of natural monopolies? A) Economies of scale. B) The Federal Trade Commission Act. C) Cease and desist order. D) Foreclosure. Show Answer Correct Answer: A) Economies of scale. 7. The ..... where the supply and demand curves cross A) Supply curve. B) Demand curve. C) Equilibrium point. D) Market supply. Show Answer Correct Answer: C) Equilibrium point. 8. Pollution caused by automobiles is an example of A) An innefficient allocation of resources. B) A positive externality. C) A negative externality. D) The public sector. Show Answer Correct Answer: C) A negative externality. 9. Low barriers to entry and takers of the market price for their product A) Perfect competition. B) Monopolistic competition. C) Oligopoly. D) Monopoly. Show Answer Correct Answer: A) Perfect competition. 10. Which of the following is NOT a type of market structure? A) Competitive monopoly. B) Oligopoly. C) Perfect competition. D) All are types. Show Answer Correct Answer: A) Competitive monopoly. 11. What are the barriers to entry in imperfect competition? A) Start-up costs, skill requirements, and brand recognition. B) High barriers of entry, patents/copyrights, and mergers. C) Economies of scale, natural monopolies, and skill requirements. D) Start-up costs, skill requirements, and limited information. Show Answer Correct Answer: A) Start-up costs, skill requirements, and brand recognition. 12. A market structure with many companies selling similar products A) Monopoly. B) Oligopoly. C) Monopolistic comp. D) Perfect comp. Show Answer Correct Answer: C) Monopolistic comp. 13. Confers the right to exclude others from making, using, offering for sale, or selling an invention. A) Collusion. B) Patent. C) Anti-trust. D) Natural monopoly. Show Answer Correct Answer: B) Patent. 14. Prie floors are always ..... equilibrium price. A) Above. B) Below. C) Equal to. D) None of above. Show Answer Correct Answer: A) Above. 15. The effort by sellers to secretly set production levels or prices is called A) Collusion. B) Price leadership. C) Compliance. D) Nonprice competition. Show Answer Correct Answer: A) Collusion. 16. A philosophy that government should not interfere with commerce or trade. A) Competitive-price theory. B) Perfect competition theory. C) Let it happen. D) Monopoly theory. Show Answer Correct Answer: C) Let it happen. 17. What is the equilibrium condition for the output produced by a monopoly firm? A) MR = MC. B) AR = MR. C) AC = MC. D) TR = TC. Show Answer Correct Answer: A) MR = MC. 18. The maximum legal price that can be charged is called a A) Price ceiling. B) Price floor. C) Price fan. D) Price stair. Show Answer Correct Answer: A) Price ceiling. 19. When competitors cut their prices really low to win business. Happens in oligopolies and can form monopolies. A) Price War. B) Collusion. C) Cartel. D) Price Discrimination. Show Answer Correct Answer: A) Price War. 20. What is the only curve that continues to fall as output increases? A) Average Fixed Cost. B) Average Variable Cost. C) Average Total Cost. D) Marginal Cost. Show Answer Correct Answer: A) Average Fixed Cost. ← 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