Source: https://www.youtube.com/watch?v=Mgl8ZVnezyw

1/ What are the key features of pure (perfect) competition for chlorine?

Group of answer choices

There are lots of sellers.

Chlorine is standardized (homogenous product).

No chlorine maker exerts control over price.

It's not hard for a supplier of chlorine to enter the market or exit by closing up shop.

Both sellers and buyers have full and equal information about the product.

2/ Examples of pure/perfect competition include:

Group of answer choices

foreign exhange.

chemicals.

all answers are correct.

agricultural goods.

3/ For perfectly competitive firms, only normal profit is expected.

Group of answer choices

True

False

4/ Normal profit is defined as:

Group of answer choices

revenue < explicit and implicit costs

the sum of revenue and explicit and implicit costs.

revenue > explicit and implicit costs

revenue = explicit and implicit costs

5/ What does a demand curve for a perfectly competitive firm look like?

Group of answer choices

Vertical demand curve.

There is no demand curve.

Flat horizontal demand curve.

Concave demand curve.

6/ In pure/perfect competition, firms are called price makers.

Group of answer choices

True

False

7/ According to Professor Dan Hamermesh, perfect competition is a useful economic model because:

Group of answer choices

It provides an ideal for business organization.

It provides a good description of what goes on in most industries.

Entry and exit are easy for commodity producers and others.

Most industries produce commodities.

8/ Business firms attempt to make higher than normal profits by:

Group of answer choices

Producing a commodity.

Focusing on time-honored products and production techniques.

Entering and industry and then exiting quickly.

Obtaining a patent on their product.

9/ The team that wins the Babson College business plan competition is the team that proposes to produce:

Group of answer choices

An online shop that caters to history buffs.

A restaurant that offers a romantic dining experience.

A medical weight loss sleeve.

A chemical compound that substitutes for chlorine.

10/ Most entrepreneurs:

Group of answer choices

Hope to make economic profits by becoming the sole supplier of a new product.

Hope that their economic profits are greater than their accounting profits.

Produce in competitive industries and earn economic profits.

Avoid the forces of competition by producing a commodity.