Scarcity - True or False Question

Scarcity is the basic condition that exists when unlimited resources exceed limited wants.

• True

• False

Opportunity cost is the next best alternative given up when a choice is made.

• True

• False

Which of the following represents a decrease in quantity demanded?

• Point A to Point B

• Point A to Point C

• Point B to Point A

• D2 to D1

Which business organization(s) have unlimited liability?

• sole proprietorship

• partnerships

• corporations

Which market structure is described by the following characteristics: many sellers, no barriers to entry, no control over product price, sellers selling identical products?

• Monopoly

• Oligopoly

• Perfect Competition

• Monopolistic Competition

Which market structure is described by the following characteristics: one seller, high barriers to entry, complete control over product price, no close substitute product?

• Monopoly

• Oligopoly

• Perfect Competition

• Monopolistic Competition

Which market structure is described by the following characteristics: many sellers, low barriers to entry, some control over product price, product differentiation?

• Monopoly

• Oligopoly

• Perfect Competition

• Monopolistic Competition

Which market structure is described by the following characteristics: few sellers, medium barriers to entry, considerable control over product price, product differentiation?

• Monopoly

• Oligopoly

• Perfect Competition

• Monopolistic Competition

Which option shows the correct order of the market structures from fewest number of businesses to highest number of businesses?

• monopoly, oligopoly, monopolistic competition, perfect competition

• monopoly, perfect competition, oligopoly, monopolistic competition

• oligopoly, monopolistic competition, monopoly, perfect competition

• oligopoly, monopolistic competition, perfect competition, monopoly

Which option shows the correct order of the market structures from most competitive to least competitive?

• perfect competition, monopolistic competition, oligopoly, monopoly

• monopoly, perfect competition, oligopoly, monopolistic competition

• oligopoly, monopolistic competition, monopoly, perfect competition

• monopolistic competition, oligopoly, perfect competition, monopoly