Multiple Choice Questions

It produces a smaller level of output than would be produced in a competitive market.
  • Most markets are not monopolies in the real world because,
  • For a monopolist, marginal revenue is,
  • A monopoly is an inefficient way to produce a product because,
  • A monopoly...
Earn zero profit.
  • The fundamental source of monopoly power is...
  • In a market characterized by monopoly, the market demand curve is...
  • If the government regulates the price that a natural monopolist can charge to be equal to the firm's average total cost, the firm will..
  • Because a monopolist must lower its price in order to sell another unit of output,
Encourage creative activity.
  • In order to sell more of its product, a monopolist must...
  • A benefit to society of the patent and copyright laws is that those laws...
  • The legislation passed by Congress in 1890 to reduce the market power of large and powerful "trusts" is called the...
  • A profit-maximizing monopolist will produce the level of output at which,
Can set the price it charges for its output but faces a downward-sloping demand curve so itcannot earn unlimited profits.
  • A monopoly...
  • Deadweight loss
  • A monopoly is an inefficient way to produce a product because,
  • For a monopolist, marginal revenue is,
Less than price, whereas marginal revenue is equal to price for a perfectly competitivefirm.
  • For a monopolist, marginal revenue is,
  • Which of the following statements is correct?
  • A monopoly is an inefficient way to produce a product because,
  • A monopoly...
Sherman Act.
  • In order to sell more of its product, a monopolist must...
  • A benefit to society of the patent and copyright laws is that those laws...
  • The legislation passed by Congress in 1890 to reduce the market power of large and powerful "trusts" is called the...
  • If the government regulates the price that a natural monopolist can charge to be equal to the firm's average total cost, the firm will..
Downward sloping.
  • The fundamental source of monopoly power is...
  • If the government regulates the price that a natural monopolist can charge to be equal to the firm's average total cost, the firm will..
  • In a market characterized by monopoly, the market demand curve is...
  • Most markets are not monopolies in the real world because,
Marginal revenue is less than price.
  • The fundamental source of monopoly power is...
  • A profit-maximizing monopolist will produce the level of output at which,
  • Because a monopolist must lower its price in order to sell another unit of output,
  • Which of the following is not an example of a barrier to entry?
Does not exist
  • The fundamental source of monopoly power is...
  • In a market characterized by monopoly, the market demand curve is...
  • The supply curve for the monopolists,
  • For a monopolist, marginal revenue is,
Price is usually set equal to marginal cost by firms.
  • Most markets are not monopolies in the real world because,
  • A monopoly is an inefficient way to produce a product because,
  • In a market characterized by monopoly, the market demand curve is...
  • The defining characteristic of a natural monopoly is...
A competitive firm is a price taker, whereas a monopolist is a price maker.
  • Which of the following is not a characteristic of a monopoly?
  • The defining characteristic of a natural monopoly is...
  • Which of the following is not an example of a barrier to entry?
  • Which of the following statements is correct?
Economies of scale over the relevant range of output.
  • Which of the following is not an example of a barrier to entry?
  • Most markets are not monopolies in the real world because,
  • Which of the following statements is correct?
  • The defining characteristic of a natural monopoly is...
An entrepreneur opens a popular new restaurant.
  • Which of the following statements is correct?
  • Which of the following is not a characteristic of a monopoly?
  • Which of the following is not an example of a barrier to entry?
  • A profit-maximizing monopolist will produce the level of output at which,
0 h : 0 m : 1 s

Multiple Choice Questions
Answered Not Answered Not Visited Correct : 0 Incorrect : 0