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1. A monopolistically competitive firm is characterized by
a. Price equals marginal cost pricingb. Barriers to entryc. Differentiated productsd. Similar products
2. Which of the following statements is false?a. Natural monopolies do not need to be regulated because they naturally behave to benefit society.b. Oligopoly markets require firms to behave strategically.c. Monopolistic competition produces with excess capacity.d. Monopolies generally arise because of barriers to entry.
3. Both perfectly competitive markets and monopolistically competitive markets are characterized bya. Efficient productionb. Barriers to exitc. No barriers to entryd. Homogenous products
4. Monopolies generally arise from which of the following?a. Marginal cost pricingb. Vertical mergersc. Barriers to entryd. Ownership of resources
5. The price of an oligopoly product is likely to bea. Higher than a monopoly firm but lower than a perfectly competitive firmb. Higher than a monopoly firm and higher than a perfectly competitive firmc. Lower than a monopoly firm but higher than a monopolistic competitive firmd. Higher than a monopoly firm but lower than a monopolistic competitive firm
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