Pure competition is characterized by which of the following? Question 10 options: a) A single seller in the market. b) A few firms dominating the market. c) Many firms selling identical products.
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Pure competition is a market structure where there are many buyers and sellers, and the products offered by the sellers are identical or very similar. Show more…
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1.Which of the following is NOT a characteristic of a perfectly competitive market? A. a small number of firms in a market B. a large number of firms in a market C. an individual firm being a price taker D. an individual firm having no control over market price
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IV. ASSESSMENT Post Test : Multiple Choice: Directions: Read the following statements carefully, choose the letter/choices that best describes the statement. 1. It refers to the nature and degree of competition within the market for goods and services. A. Market B. Marketing C. Market structure D. Public market 2. Sole seller has the complete control to set prices. A. Pure Competition B. Monopolistic Competition C. Oligopoly D. Monopoly 3. It is the most competitive market structure. A. Pure Competition B. Monopolistic Competition C. Oligopoly D. Monopoly 4. It is the least competitive market structure. A. Pure Competition B. Monopolistic Competition C. Oligopoly D. Monopoly 5. A whole region where sellers and buyers of a product are spread. A. cost B. free competition C. buyers and sellers D. Area 6. Which scenario is an example of a monopoly? A. A local water company is the sole provider of water for a small town. B. A dry cleaner specializes in environmentally friendly cleaning methods. C. A farmer produces green beans for sale at a farmer's market. D. A small number of cereal companies produce most of the cereal on the market. 7. Under perfect competition, A. Products are similar but not identical. B. Numerous restrictions prevent firms from entering the market. C. No seller can sell a product above the prevailing market price. D. A single seller can affect price. 8. Which of the following is NOT a characteristic of a monopoly? A. Seller sets the market price B. Entry into the market is easy C. Firm sells a unique product D. One seller 9. Perfect competition involves: A. Sellers working together to set prices B. Many buyers & sellers C. Difficulty entering & exiting the market D. Little information is available to buyers 10. List the four market structures in order from least competitive to most competitive. A. Oligopoly, Monopoly, Perfect Competition, Monopolistic Competition B. Perfect Competition, Oligopoly, Monopoly, Monopolistic Competition C. Monopoly, Oligopoly, Monopolistic Competition, Perfect Competition D. Monopoly, Monopolistic Competition, Perfect Competition, Oligopoly
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