Monopol

Question 1

A market structure characterized by a single seller, producing a good or service for which there are no close substitutes, in a market with relatively blocked entry. They are price makers

Answer 1

monopoly

Question 2

The ability of a monopoly to influence prices by controlling the quantities that it produces in the market

Answer 2

monopoly power

Question 3

Any impediments that prevent firms from entering a market or industry

Answer 3

barriers to entry

Question 4

When only one firm is in the market but there are no barriers to entry

Answer 4

contestable market

Question 5

The change in a firms total revenue that results from a one-unit change in output produced and sold

Answer 5

marginal revenue

Question 6

The level of profit that occurs when total revenue is greater than total cost

Answer 6

economic profit

Question 7

The level of profit that occurs when total revenue is equal to total cost.

Answer 7

normal profit

Question 8

Producing output at the lowest possible average total cost of production

Answer 8

productive efficiency

Question 9

Producing the goods and services that are most wanted by consumers in such a way that their marginal benefit equals their marginal cost

Answer 9

allocative efficiency

Question 10

The value of the economic surplus that is forgone when a market is not allowed to adjust to its competitive equilibrium

Answer 10

deadweight loss

Question 11

The practice of selling the same good or service to different consumers at different prices

Answer 11

price discrimination

Question 12

The practice of charging each and every consumer the price that they are willing and able to pay for a good or service.

Answer 12

first-degree price discrimination

Question 13

The practice of charging different prices per unit for different quantities, or blocks, of a good or service. Also known as block pricing

Answer 13

second-degree price discrimination

Question 14

The practice of dividing market participants into groups based on their elasticities of demand in order to charge each group a different price for the same good or service

Answer 14

third degree price discrimination

Question 15

The profit maximizing price that will result from an unregulated monopolistic market

Answer 15

unregulated monopoly price

Question 16

A regulated price that is equal to the average total cost of production.

Answer 16

regulated normal profit

Question 17

A regulated price that is equal to the marginal cost of production.

Answer 17

regulated competitive price

Question 18

An industry in which economies of scale are so extensive that the market is better served by a single firm.

Answer 18

natural monopoly