Question 21 [1 point] Suppose a monopoly is suddenly transformed into a perfectly competitive markeL We would expect: 0 price to rise. output to rise. consumer surplus to fall 0 price to rise. output to fall. consumer surplus to rise 0 price to fall, output to rise. consumer surplus to rise 0 price to rise. output to fall. consumer surplus to fall Question 22 [1 point] Which of the following industries described is most likely an oligopoly? 0 There are two producers of diamonds in the world and diamonds are sold in many different countries 0 In the tomatoes market. the market share of the two largest companies combined equals T953. There are other producers in the market as well. 0 The price of blueberries is determined by global supply and demand. A small share of the global supply is produced by Canadian farmers. 0 Electricity in the province is distributed by one state-owned corporationI which also sets the electricity distribution price. Question 23 [1 point] Uber is considering expanding to new cities. They can start operations in one of four cities [A B, C and D} and they know that the HHI index for the ride-hailing industry in each city is we ILA]. 500 {B}. l {C}. and 2000 [B] respectively. If Uber wants to expand to the city with the least competitiye market. which city would it choose? Question 24 (1 point) An industry is made up of five firms. Firm 1 and firm 2 each make up 20% of the total market sales, firm 3 makes up 35% of the total market sales, firm 4 makes up 15% of the total market sales, and firm 5 makes up 10% of the total market sales. What is the HHI for this industry? O 100 O 1,800 2,350 O 2,050 Question 25 (1 point) Hydro One is a monopoly in the market for electricity transmission in Ontario. Hydro One owns a lot of infrastructure, which was very costly to build. However, marginal costs of providing electricity services are very low. Which of the following factors best explains Hydro One's monopoly power? O Technological superiority O Copyright protection O Economies of scale O Network externalities