HW 9-1

A monopoly firm is a price taker

False

A monopoly is a single-buyer market while a monopoly is a single-seller market

False

Firms in a perfectly competitive market can change their prices to expand or reduce their sales

False

Firms under perfect competition are constantly searching for new technology that will increase output and reduce production costs

True

For a monopolist, the individual firm's supply curve is the market supply curve

True

Monopolistic competition is a market structure that has elements of both perfect competition and oligopoly

True

The competitive industry is considered to be an efficient industry

True

The invisible hand is the unregulated operation of the market that results in efficient production

True

the four characteristics of perfect competition are

large number of buyers and sellers, homogeneous product, freedom entry or exit, perfect knowledge and information

New car market in Dallas, TX is a __________ market structure

monopolistic competition

Imperfect competition includes

monopolistic competition, oligopoly, monopoly

Economies have classified industries into four basic structures

perfect competition,monopoly, oligopoly, and monopolistic competition