Econ 7
Q. What kind of market runs most efficiently when one firm supplies all of the output?
Natural Monopolies
Table of Contents
- Q. What kind of market runs most efficiently when one firm supplies all of the output?
- Q. When there is a market in which a large number of firms all produce the same product it’s known as?
- Q. In which situation is the market dominated by one seller?
- Q. What are the three practices of oligopolies that concern the government the most?
- Q. What are the three practices of oligopolies that concern the government the most quizlet?
- Q. Which market structure hold the most power?
- Q. When a real estate agent says the three most important factors?
- Q. What is the relationship between start up costs and a competitive market quizlet?
- Q. What is the relationship between start up cost and competitive market?
- Q. What major advantage does a partnership have that a sole proprietorship does not?
- Q. What is a major disadvantage of a partnership?
- Q. What are some benefits and consequences of a sole proprietor?
- Q. Would a partner make it easier to be successful in business?
- Q. What are 3 qualities you believe a new business partner should maintain in order to ensure the highest quality of products and services to a company?
- Q. What are the six characteristics of a business relationship?
Q. When there is a market in which a large number of firms all produce the same product it’s known as?
Economics Chapter 7 Terms
| A | B |
|---|---|
| perfect competition | a market structure in which a large number of firms all produce the same product |
| commodity | a product that is the same no matter who produces it, such as petroleum, notebook paper, or milk |
| barrier to entry | any factor that makes it difficult for a new firm to enter a market |
| Question | Answer |
|---|---|
| Government monopoly | Created by a government |
| Patent | License that gives the inventor of a new product that exclusive right to sell it for a specific period of time |
| Franchise | Contract that gives a single form the right to sell its goods within a exclusive market |
Q. In which situation is the market dominated by one seller?
In a monopoly, there is only one seller in the market. The market could be a geographical area, such as a city or a regional area, and does not necessarily have to be an entire country. The single seller is able to control prices. Most monopolies fall into one of two categories: natural and legal.
Q. What are the three practices of oligopolies that concern the government the most?
Prentis Hall Economics New Ulm
| Question | Answer |
|---|---|
| What are the three practices of oligopolies that concern the government the most? | price fixing, collusion, and cartels |
| An agreement among firms to divide the market, set prices, or limit production is | collusion. |
Q. What are the three practices of oligopolies that concern the government the most quizlet?
monopolistic competition. price fixing. What are the three practices of oligopolies that concern the government the most? slightly above their costs in the long run.
Q. Which market structure hold the most power?
- Answer: The answer is monopoly.
- Monopoly is the firms in which market structure hold the most market power.
- Explanation: Monopoly refers to market structure where there is a single seller offering or selling goods and services to the public.
Q. When a real estate agent says the three most important factors?
Explanation: When a real estate agent says the three most important factors when buying a property are “location, location, location,” the agent is referring to one of the forms of non price competition.
Q. What is the relationship between start up costs and a competitive market quizlet?
What is the relationship between start-up costs and a competitive market? Markets with high start-up costs are less likely to be perfectly competitive. How does a perfect market influence output? Each firm adjusts it’s output so that it’s costs, including profit, are covered.
Q. What is the relationship between start up cost and competitive market?
Markets with high start-up costs are less likely to be perfectly competitive. Markets with high start-up costs are more likely to be perfectly competitive. Low start-up costs are likely to make a market less competitive. There is no consistent relationship between start-up costs and the competitiveness of a market.
Q. What major advantage does a partnership have that a sole proprietorship does not?
A partnership has several advantages over a sole proprietorship: It’s relatively inexpensive to set up and subject to few government regulations. Partners pay personal income taxes on their share of profits; the partnership doesn’t pay any special taxes.
Q. What is a major disadvantage of a partnership?
A major disadvantage of a partnership is unlimited liability. General partners are personally responsible for any acts of negligence and the debts and obligations of the business. To protect the owner’s personal assets, a different form of business structure such as a corporation or LLC would be in order.
Q. What are some benefits and consequences of a sole proprietor?
What are the advantages of a sole proprietorship?
- Less paperwork.
- Easier tax setup.
- Fewer business fees.
- Straightforward banking.
- Simplified business ownership.
- No liability protection.
- Harder to get financing and business credit.
- It’s harder to sell your business.
Q. Would a partner make it easier to be successful in business?
Answer: Having a business partner can help complement your skills and create the necessary balance between strengths and weaknesses. It can also help magnify your company’s strengths. For example, if you’re not too good with dealing with money, then find someone who is good at it.
Q. What are 3 qualities you believe a new business partner should maintain in order to ensure the highest quality of products and services to a company?
Top 10 Qualities to Look for in a Business Partner
- Passion. Ideally, the person you decide to partner with should be just as passionate about your business as you are.
- Reliability.
- Compatibility.
- The Ability to Build Strong Relationships.
- Fiscal Responsibility.
- Creativity.
- Open-Mindedness.
- Comfort With Risk.
Q. What are the six characteristics of a business relationship?
6 Qualities to Look for in Business Partnerships
- Supportiveness. You and your business partners need to know deep down that you have each other’s backs.
- Gratifying. Business partnerships are difficult to maintain unless they feel gratifying when working together.
- Morale Boosting.
- Integrity.
- Passion.
- Commitment.
