Prelim Economics review Gr 11

Which of the following is NOT a characteristic of oligopoly?

• High barriers to entry

• A small number of large firms

• Homogeneous products

• Interdependence between firms

Which of the following is an example of an oligopoly?

• A fruit stand in a local farmers market

• A gas station on a highway

• A small coffee shop in a suburban area

• A hair salon in a downtown area

A monopoly is a market structure in which___

• Many small firms compete

• A few large firms compete

• There is only one firm

• There is no competition

A monopoly has significant___

• Market power

• Barriers to entry

• none of them

• There is no competition

Which of the following is an example of a natural monopoly?

• A local restaurant

• A cable TV provider

• A clothing store

• A small convenience store

The following is an example of an oligopoly market__

• The market for organic produce

• The market for fast food restaurants

• The market for handmade crafts

• The market for online streaming services

How do firms in an oligopoly market typically compete with each other?

• By lowering prices

• By advertising heavily

• By producing more goods than their competitors

• By differentiating their products

Which of the following is an example of an oligopoly in the real world?

• The market for toothbrushes

• The market for gasoline

• The market for milk

• The market for smartphones

The examples of barrier to entry for firms in an oligopoly market is___

• Low start-up costs

• Easy access to distribution channels

• Government regulation

• Homogeneous products

Which of the following is a strategy that firms in an oligopoly market may use to compete with each other?

• Price collusion

• Competitive pricing

• Maximizing output

• Diversification