In a Small Town the Level of Demand Is Capable

question 266

Multiple Choice

In a small town the level of demand is capable of supporting only two gas stations. This market is

• A) a natural duopoly.
• B) perfectly competitive because a homogeneous good is being sold.
• C) operating as if it was a monopoly.
• D) an example of monopolistic competition.

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Definitions:

Involuntarily

Occurring without the individual's conscious choice, often referring to actions or reactions that are automatic or outside personal control.

Role Set

A role set is a cluster of roles attached to a single status.

Status Group

A social group that people belong to based on factors like prestige, honor, and lifestyle, rather than solely economic or social class.

Role Cluster

A set of roles that are associated with a particular social status or position in society, typically involving expected behaviors and responsibilities.