Economics and Financial Literacy - Market Structures Quiz

________________________ refers to how different industries are classified and differentiated based on their degree and nature of competition for services and goods.

• market structures

• economic systems

• business models

• supply chains

The four types of market structures are: Pure Competition, Monopolistic Competition, Oligopoly and ______________________.

• Monopoly

• Perfect Competition

• Duopoly

• Cartel

Pure competition is characterized by: easy entry and exit, large number of sellers, identical products and ______________________.

An industry with only one seller is a _____________________________.

• Monopoly

• Oligopoly

• Duopoly

• Perfect Competition

Monopolistic competition involves a __________________ number of sellers selling products that are similar, but differentiated.

• large

• small

• single

• limited

Cars and soft drinks are two products sold in __________________________ markets.

• oligopoly

• monopoly

• perfect competition

• monopolistic competition

Electricity is a product that you would most likely purchase from a ______________________.

• monopoly

• grocery store

• pharmacy

• bookstore

When sellers can only sell at the market price we consider that seller to be a _________________.

• price taker

• price maker

• monopolist

• oligopolist

When sellers can sell their products at different prices based because of unique features or advertising, we consider that seller to be a __________________________.

• price maker

• price taker

• price follower

• price competitor

Which TWO market structures do we buy the majority of our products from?

• Monopoly and Oligopoly

• Perfect Competition and Monopolistic Competition

• Oligopoly and Perfect Competition

• Monopolistic Competition and Monopoly