Quiz in Applied PPT 2&3

During a class discussion, Aria asked, 'What does the term 'market' refer to in economics?'

• A place where goods are purchased and sold

• The whole area where buyers and sellers are spread

• A group of suppliers and buyers in close contact

• The price of goods in a market

In a recent economics class, James asked, What does market structure indicate?

• The number of buyers and sellers

• The nature of competition

• The pricing policy followed

• All of the above

If a firm sells its output on a market that is characterized by few sellers and many buyers and limited long-run resource mobility, then the firm is

• 1. a monopolist.

• 1. 
     an oligopolist.

• 1. a perfect competitor.

• 1. a monopolistic competitor.

If a firm sells its output on a market that is characterized by many sellers and buyers, a differentiated product, and unlimited long-run resource mobility, then the firm is

• 1. a monopolist.

• 1. 
     an oligopolist.

• 1. a perfect competitor.

• 1. a monopolistic competitor.

If a firm sells its output on a market that is characterized by a single seller and many buyers of a homogeneous product for which there are no close substitutes and barriers to long-run resource mobility, then the firm is

• 1. a monopolist.

• 1. 
     an oligopolist.

• 1. a perfect competitor.

• 1. a monopolistic competitor.

If a firm sells its output on a market that is characterized by many sellers and buyers, a homogeneous product, unlimited long-run resource mobility, and perfect knowledge, then the firm is a

• 1. a monopolist.

• 1. 
     an oligopolist.

• 1. a perfect competitor.

• 1. a monopolistic competitor.

Which of the following markets comes close to satisfying the assumptions of a perfectly competitive market structure?

• 1. The stock market

• 1. 
     Market of agricultural commodities

• 1. Market of petroleum gas

• 1. All of the above comes close

The following are the types of legal monopoly except one.

• 1. Natural

• 1. 
     Government

• 1. Psychological

• 1. Governmental

Which of the following is a differentiated product?

• 1. A hamburger.

• 1. 
     A shirt.

• 1. A mobile phone

• 1. All of the above are differentiated products.

The countries unemployment rate is an external force impacting on which environment?

• 1. Economic

• 1. 
     Social

• 1. Political

• 1. Environmental