Question 2 (1 point) I Which of the following is not consistent with a price taker? Q There are many firms selling identical products. Q There are very few competitors. O Firms have no control over price. O The firm is in a perfectly competitive industry. Question 3 (1 point) I The law of supply states that, all else equal. there is O a direct relationship between price and quantity supplied. C) an indirect relationship between price and quantity supplied. C) no clear relationship between price and quantity supplied. C) an inverse relationship between price and quantity supplied. Question 4 (1 point) I How much producers are willing and able to sell at various prices is known as O quantity demanded. O supply. O quantity supplied. O demand. Question 5 (1 point) I The difference between the price a seller is paid and the minimum price they are willing to accept is 0 their individual consumer surplus. O the amount of market surplus. O the total economic surplus. 0 their individual producer surplus. Question 6 (1 point) I Junior's Sporting Goods sells camping equipment and outdoor gear. The company is willing to sell a particular fishing pole for as little as $60. Its main competitor is Sporty Gear, which is willing to sell the shing pole for as little as $35. The current market price of that type of shing pole is $80. What is the total producer surplus for the two firms? Your Answer: :1 Answer Question 7 (1 point) I All of the following helps explain why perfectly competitive firms are price takers except 0 buyers have complete information about the product. 0 it is easy to enter the industry. 0 they sell standardized products. 0 they sell differentiated products. Question 8 (1 point) I Which of the following scenarios could cause the price of good or service to increase? (Check all that apply.) C] increase in demand; no change in supply C] no change in demand; decrease in supply C] no change in demand; increase in supply C] decrease in demand; increase in supply C] decrease in demand; decrease in supply C] decrease in demand; no change in supply C] increase in demand; decrease in supply C] increase in demand; increase in supply Question 9 (1 point) I All of the following are characteristics of perfect competition except: Q There is free entry and exit. 0 Individual firms have no control over price. Q There are many firms selling differentiated products. Q There are many firms selling identical products. Question 10 (1 point) II Quantity supplied O increases when price increases and decreases when price decreases. O increases when price decreases and decreases when price increases. O is independent of price. O cannot be determined by price. Question 11 (1 point) I Demonstrate your comprehension of differences in changes in supply versus changes in quantity supplied by matching choices. shown graphically as a rightward shift in a supply curve shown graphically as movement up along a supply curve shown graphically as 1. increase in supply movement down along a supply curve 2. increase in quantity supplied shown graphically as a 3 . decrease in so I leftward shift in a supply pp y curve 4. decrease in quantity supplied caused by a decrease in the price of the good or service caused by an increase in the price of the good or service Question 12 (1 point) I The individual firm in a perfectly competitive firm faces a demand curve which is O upward sloping. O horizontal. O downward sloping. O vertical. Question 13 (1 point) I Which of the following is most likely in a perfectly competitive industry? O colleges or universities O apples O power companies O airlines