Top 350+ Solved Micro economics 2 MCQ Questions Answer
Q. Which of the following is known as the perfect price discrimination
a. First degree price discrimination
b. Second degree price discrimination
c. Third degree price discrimination
d. Nine of the above
Q. A monopolist usually earns
a. Economic profit
b. Only normal profit
c. Losses
d. Profit and losses, which are uncertain
Q. Price discrimination is possible
a. Under any market form
b. Only under monopoly
c. Only under monopolistic competition
d. Only in perfect competition
Q. Who introduced various types of price discrimination
a. Alfred Marshall
b. Adam Smith
c. A C Pigou
d. J B Say
Q. Oligopoly is a market situation characterized by
a. Large number of buyers and sellers
b. A single seller
c. Fairly large number of buyers and sellers
d. A few sellers
Q. Price leadership can be in the form of
a. Price leadership by a low cost firm
b. Price leadership by a dominant firm
c. A barometric price leadership
d. All of the above
Q. Assertion (A) Many oligopolistic industries exhibit an appreciabledegree of Price rigidity or stability Reason (R) Oligopolists face a demand curve that is highly elastic for price increases and less elastic for price reductions
a. (A) is true but (R) is false.
b. Both (A) and (R) are false
c. Both (A) and (R) are true and (R) is the correct explanation of (A)
d. Both (A) and (R) are true but (R) is not the correct explanation of (A)
Q. The equilibrium level of output for a perfectly competitive marketis
a. MC = AC
b. MC = MR
c. TC = TR
d. None of the above
Q. The term ‘monopsony’ refers to
a. a single seller
b. a single buyer
c. a single buyer and a single seller
d. None of the above
Q. In Chamberlin and Kinked demand curve model, the oligoposist
a. Recognize their interdependence
b. Do not collude
c. Tend to keep prices constant
d. All of the above
Q. If an oligopolist incurs losses in the short run, then in the longrun
a. The oligopolist will go out of business
b. The oligopolist will stay in business
c. The oligopolist will break-even
d. Any of the above
Q. Existence of large number of buyers and sellers andhomogenous product is a feature of :
a. Monopoly
b. Duopoly
c. Perfect Competition
d. Oligopoly
Q. Product differentiation is a characteristic of:
a. Monopoly
b. Perfect Competition
c. Monopolistic Competition
d. Oligopoly
Q. A firm under Perfect Competition is a:
a. Price maker
b. Price taker
c. Monopolist
d. None of these
Q. Selling cost is a feature of :
a. Perfect Competition
b. Monopoly
c. Monopolistic Competition
d. Oligopoly