Question 1
Which characteristic is shared by both monopoly and oligopoly market structures?
Question 2
In an oligopoly, what contributes to firms having significant pricing power?
Question 3
In imperfect competition, why does marginal revenue decrease as more units are produced?
Question 4
Which market structure often results in allocative inefficiency and deadweight loss?
Question 5
How do perfectly competitive firms achieve allocative efficiency?
Question 6
What results in zero economic profit in the long run for firms in monopolistic competition?
Question 7
Why do perfectly competitive firms have a horizontal demand curve?
Question 8
What market structure allows firms to earn zero economic profit in the long run due to market entry and exit?
Question 9
What market structure is characterized by a single seller dominating the market?
Question 10
What leads to deadweight loss in imperfectly competitive markets?
Question 11
Where do imperfectly competitive firms produce to maximize profit?
Question 12
Why do firms in monopolistic competition have some pricing power?
Question 13
In a monopoly, what typically prevents new firms from entering the market?
Question 14
What curve lies below the demand curve in imperfect competition and signifies lower additional revenue?
Question 15
How does demand curve positioning differ between perfectly competitive and imperfectly competitive firms?
Question 16
Which of the following is NOT a characteristic of monopolistic competition?