1. Which of the following is a characteristic of pure monopoly?
A. close substitute products
B. barriers to entry
C. the absence of market power
D. "price taking"
2. An example of a monopoly would be
A. one of many U.S. wheat farmers
B. one of the few U.S. automakers
C. AT&T cell phone service
D. the local water company
3. In which market structure do firms exist in very large numbers, each firm produces an identical product, and there is freedom of entry and exit?
A. monopoly
B. oligopoly
C. only perfect competition
D. only monopolistic competition
E. both perfect competition and monopolistic competition
4. Which of the following is the best example of a perfectly competitive market?
A. farming
B. diamonds
C. athletic shoes
D. soft drinks
E. electricity distribution
1. Which of the following is a characteristic of pure monopoly?
A. close substitute products
B. barriers to entry
C. the absence of market power
D. "price taking"
2. An example of a monopoly would be
A. one of many U.S. wheat farmers
B. one of the few U.S. automakers
C. AT&T cell phone service
D. the local water company
3. In which market structure do firms exist in very large numbers, each firm produces an identical product, and there is freedom of entry and exit?
A. monopoly
B. oligopoly
C. only perfect competition
D. only monopolistic competition
E. both perfect competition and monopolistic competition
4. Which of the following is the best example of a perfectly competitive market?
A. farming
B. diamonds
C. athletic shoes
D. soft drinks
E. electricity distribution
