Navigation » List of Schools » Glendale Community College » Economics » Econ 101 – Microeconomics » Winter 2022 » iVAT Chapter 15
Below are the questions for the exam with the choices of answers:
Question #1
A Greater than 100 but less than 200.
B Less than 100.
C Greater than 200 but less than 400.
D Greater than 400.
Question #2
A Is easier to calculate.
B Gives extra weight to firms that are especially large.
C Takes into account only the leading firms in an industry.
D Tells about only the top 50 firms in an industry.
Question #3
A Olive oil industry.
B Soap production industry.
C Fast food industry.
D Corn production industry.
E The soda industry.
Question #4
A Largest four firms in the industry produce 28 percent of the industry’s output.
B Smallest four firms in the industry produce 28 percent of the industry’s output.
C Largest four firms in the industry produce 72 percent of the industry’s output.
D None of the available answers.
E Smallest four firms in the industry produce 72 percent output.
Question #5
A We can conclude that the market is too concentrated.
B We can conclude that the two companies are not in the same market.
C We can conclude that the market is not concentrated.
D We can conclude that the two companies are in the same market.
Question #6
A We can conclude that the cable company’s total revenue will increase if the price of satellite TV increased.
B We can conclude that the two companies are in the same market.
C We can conclude that the two companies are not in the same market.
D We can conclude that the market is too concentrated.
Question #7
A The higher prices will be.
B The less concentrated the industry will be.
C The more concentrated the industry will be.
D The lower prices will be.
Question #8
A The higher prices will be.
B The more concentrated the industry will be.
C The higher costs will be.
D The less concentrated the industry will be.
Question #9
A Barriers to entry are much more important than market structure in determining the degree of price competition in an industry.
B Barriers to entry and market structure are both important in determining the degree of price competition in an industry.
C Neither barriers to entry nor market structure affects the degree of price competition in an industry.
D Barriers to entry are much less important than market structure in determining the degree of price competition in an industry.
Question #10
A She perceives that the other meat sellers will reduce their prices as well, and she will be able to increase total revenue.
B None of the available answers.
C She perceives that the other meat sellers will increase their prices, and she will not be able to gain a large amount of market share. Therefore, she perceives that she is facing an elastic demand curve.
D She perceives that the other meat sellers will reduce their prices as well, and she will not be able to gain a large amount of market share. Therefore, she perceives that she is facing an inelastic demand curve.
Question #11
A None of the available answers.
B She perceives that the other meat sellers will raise their prices to $5.99, and she will lose a large amount of market share. Therefore, she perceives that she is facing an inelastic demand curve.
C She perceives that the other meat sellers will hold their prices at $3.99, and she will lose a large amount of market share. Therefore, she perceives that she is facing an elastic demand curve.
D She perceives that the other meat sellers will hold their prices at $3.99, and she will gain a large amount of market share. Therefore, she perceives that she is facing an inelastic demand curve.
Question #12
A The kinked demand curve model.
B A cartel.
C Monopolistic competition.
D Implicit collusion.
Question #13
A Flexible prices.
B Few or no economies of scale.
C Price competition.
D Interdependent pricing decisions.
Question #14
A Competitive model.
B Monopolistically competitive model.
C Cartel model.
D Contestable market model.
E Contradictory model.