1. Why are there only a small number of businesses in the oligopoly industry, such as 2-3 car makers in the U.S. or three large cereal makers that control 8090% of the market share? 2. Can Monopolistic Competition industries become Oligopolies where one or two firms dominate the industry? Is it already happening in some industries? Give examples. 3. How does the oligopoly decide the price, how much to sell, and how they will make a profit? Give examples of how and why they do it that way. Why would oligopoly be good for consumers? In what ways are consumers helped in the process? Explain fully. 4. Identify the following firms in the one of the four industries studied (monopoly, perfect competition, monopolistic competition or oligopoly). Explain why you classify each into the category. a. wheat farmers b. Starbucks Coffee c. Coors d. U.S. Post Office e. a dentist's office f. Ford Car Company g. Ide Honda (the car dealership) h. Google i. Gold mine j. Dry cleaners k. Pete's Lawn Mowing Services 5. What does the kinked demand curve tell us about competition and does it help the consumer in any way? Explain fully and completely. 6. How is an oligopoly different from a monopoly? Which is better? Explain why. 7. What is the shape of the monopoly's demand curve? How does a monopoly make decisions about: a. price b. quantity sold c. profit 8. Why is a cartel like OPEC so difficult to maintain? What is the benefit to stay in the cartel for the members and what are the problems for the cartel members to stay in the cartel? 9, Of the four industries studied in modules 4 and 5 , which is best for consumers? Rank them 1 through 4(4= nest for consumers and 1= worst for consumers). What can the government do to make the situation better for consumers? 10. Answer the following and explain why: What happens to an existing company's demand curve in "monopolistic competition" as new companies enter: A) demand shifts right. B) demand curve shifts left. C) It becomes horizontal. D) New entrants will not affect an existing company's demand curve. 11. Match the following descriptions with the appropriate market structure (oligopoly, Monopoly, Perfect Competition or Monopolistic Competition)? a) An industry with significant barriers to entry and a single supplier b) A highly concentrated market with just a few interdependent firms A Aighly competitive market with slightly differentiated products d) A highly competitive market where firms are price takers 12. What does the Contested Market tell an existing company which is dominating in their industry? What should they do? What is likely to occur in that industry? Explain how and why it is occurring. 13. How does the Type of innovation and new product developed change based on which industry is being examined? Go through each of the four industries and explain how and why innovation and new product development may occur