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King: Economics

Chapter 10

Instructions

Answer the following questions and then press 'Submit' to get your score.

Question 1

Which of the following statements about price-takers is false?

Question 2

On a graph for a monopolist or monopolistic competitor, which of the following curves coincide?

Question 3

A profit-maximizing monopolist sets an output of 100 per day and a price of £10. Which of the following statements is true?

Question 4

A profit-maximizing monopolist finds that if it remains open, the best output is 50 a week, but at this output it would make a loss. Under what circumstances should it shut down?

Question 5

Which of the following statements about a profit-maximizing monopolist is false?

Question 6

Suppose a monopolist discriminates between different groups of customer. Which of the following statements is false?

Question 7

Suppose a profit-maximizing monopolist faces no threats from possible new entrants to its industry. Which of the following statements about the firm's long-run equilibrium is false?

Question 8

Which of the following statements about a monopolistic competitor is false?

Question 9

Which of the following statements about the long-run equilibrium of a profit-maximizing monopolistic competitor is false?

Question 10

A student alleges that there are four differences between monopolistic competitors and monopolists, as follows. Which of these alleged differences is false?