Market Structures and Economic Systems Flashcard 1st Period

Front

Which market structure is characterized by a large number of small firms, identical products, and easy entry for new firms?

Back

Perfect competition

Front

In which market structure does a single firm have complete control over the market and its products have no close substitutes?

Back

Monopoly

Front

What market structure is characterized by a few large firms dominating the market and interdependence among firms?

Back

Oligopoly

Front

Which market structure is characterized by many firms, differentiated products, and easy entry for new firms?

Back

Monopolistic competition

Front

In a command economy, who makes the decisions about what and how much to produce?

Back

Government or central authority

Front

Which economic system is based on private ownership of resources and the use of markets and prices to coordinate and direct economic activity?

Back

Capitalism/Free Market

Front

In a market economy, what determines what and how much to produce?

Back

Supply and demand

Front

Which economic system relies on customs, traditions, and cultural beliefs to make economic decisions?

Back

Traditional economy

Front

In a mixed economy, who plays a significant role in economic decision-making?

Back

Government and private individuals or businesses

Front

Which market structure is most likely to have high barriers to entry, a small group controlling most of the market, and firms are Price Searchers?

Back

Oligopoly