1.Of which of the following is OPEC an example?

Select one:

a. A non-colluding oligopoly.

b. A differentiated oligopoly.

c. A cartel.

d. A duopoly.

2.What is implied if P=MC>AC?

Select one:

a. The market is achieving productive efficiency but is not achieving allocative efficiency

b. The market is achieving both allocative efficiency and productive

c. The market is achieving allocative efficiency but is not achieving productive

efficiency.

d. The market is achieving neither allocative efficiency nor productive efficiency

3.All of the following, except one, are benefits of product differentiation. Which is the exception?

Select one:

a. Consumers benefit in terms of the locations and hours of operation of sellers.

b. Goods are produced at the minimum average cost.

c. There are a large number of sellers from which consumers can choose.

d. There is a wide variety of products for consumers to choose from.

4.Fishing in high-seas fisheries is an example of non-excludability but not non-rival.

Select one:

True

False

5.A simultaneous increase in both the demand for and supply of a good will lead to

Select one:

a. changes in both the quantity traded and price are indeterminate

b. an increase in quantity traded and fall in price

c. an increase in quantity traded but change in price is indeterminate

d. a decrease in quantity traded and no change in price