Matching
|
|
|
Identifying Key Terms
Match each term with the correct
statement below. a. | economies of scale | f. | price war | b. | trust | g. | antitrust laws | c. | franchise | h. | market power | d. | oligopoly | i. | differentiation | e. | barrier to entry | j. | perfect
competition |
|
|
|
1.
|
a market structure in which a few large firms dominate a market
|
|
|
2.
|
a market structure in which a large number of firms all produce the same
product
|
|
|
3.
|
a series of competitive price cuts that lowers the market price below the cost
of production
|
|
|
4.
|
factors that cause a producer’s average cost per unit to fall as output
rises
|
|
|
5.
|
an illegal grouping of companies that discourages competition
|
|
|
6.
|
the right to sell a good or service within an exclusive market
|
|
|
7.
|
making a product unlike other products
|
|
|
8.
|
any factor that makes it difficult for a new firm to become part of a
market
|
|
|
Identifying Key Terms
Match each term with the correct
statement below. a. | start-up costs | f. | commodity | b. | merger | g. | price fixing | c. | cartel | h. | price discrimination | d. | license | i. | monopoly | e. | deregulation | j. | patent |
|
|
|
9.
|
combination of two or more companies into a single firm
|
|
|
10.
|
the removal of some government controls over a market
|
|
|
11.
|
a market dominated by a single seller
|
|
|
12.
|
a license that gives the inventor of a new product the exclusive right to sell
it for a certain period of time
|
|
|
13.
|
the expenses a firm must pay before it can begin to produce and sell
goods
|
|
|
14.
|
division of customers into groups based on how much they will pay for a
good
|
|
|
15.
|
a product that is considered the same no matter who produces it
|
|
|
16.
|
a government-issued right to operate a business
|