Alternative Market Structures Flashcards
in a …………………….. market, a seller has substantial control over the market price
monopoly
In a ……………..market, an individual seller has no control over the market price
perfectly competitive
A market where only a single buyer exists is called …………………………..
monopsony market
A market where only two buyers exist is called …………………….
duopsony market
A market where a few buyers exist is called ……………………
oligopsony market
Sellers in a perfectly competitive market sell …………….. type of products
homogenous or similar
There is no barrier upon entry and exit of a seller in ………………….. market
perfectly competitive
The factors of production in a perfectly competitive market are …………………
perfectly mobile
In a perfectly competitive market, the prices are determined by interaction between …………….. and ………………………….
aggregate demand and aggregate supply
each seller is a ……………….. in a perfectly competitive market
price-taker
each seller is a price-taker in a …………………….
perfectly competitive market
no seller will give a special discount to a particular buyer and no buyer will have a particular attachment towards a particular seller in ………………………….
perfectly competitive market
no seller will give a special discount to a particular buyer and no buyer will have a particular attachment towards a particular seller in ………………………….
perfectly competitive market
In a perfectly competitive market, when production capacity is fully utilised, the average cost becomes ……………………………
minimum
A firm in the …………….. market earns normal profit in the long run
perfectly-competitive `
A firm and an industry is same in ……………….
Monopoly
In a …………… market, each seller sells homogenous products that are perfect substitutes
perfectly- competitive
The buyers have perfect knowledge about the market in ………………………….
perfectly-competitive market
Each seller faces ………………….. demand curve in a perfectly-competitive market
an elastic
firms in the ……………… markets do not find the necessity of spending money on advertising
perfectly-competitive market
firms in the perfectly-competitive market do not find the necessity of spending money on ……………………
advertising
if the demand curve is perpendicular, the demand is ……………….
perfectly inelastic demand
if the demand curve is horizontal, the demand is ……………………
infinitely elastic
Number of sellers in a monopolistic market is ……………..
one
The product sold in a monopoly market ………………
does not have a close substitute
In a monopoly, each firm is a ……………………
price-maker
The entry of new firms in a ……………….. market is restricted
monopoly
What is the demand curve faced by a monopoly market?
relatively inelastic
Relatively elastic supply curve is faced by ……………. market
monopoly
In ………………….. market, the buyers have no perfect knowledge about the market
monopoly
In a monopoly market, the buyer does not feel the necessity of spending money on advertising because of the absence of …………………………..
close substitutes
The demand curve faced by the firm in the monopoly market is ……………………………..
downward sloping and relatively inelastic
In order to capture a foreign market, the monopolist may keep the price lower in the foreign market than in the domestic market, this is called …………………..
dumping
There are ………………..sellers selling differentiated but substitute products in a …………………….. market
many, monopolistic competition
In a ………………….. each firm has a degree of control over the price of the products
monopolistic competition
The demand curve faced by the monopolistic competition market?
downward-sloping, relatively elastic demand curve
Each firm spends a substantial amount of money on advertising costs in a …………………….. market
monopolistic competition
