Which of the Following Are the Most Likely Characteristics of a Market

question 8

Multiple Choice

Which of the following are the most likely characteristics of a market which has a high degree of monopoly power? Please select all that apply.

• A) Prices will be high and allocative efficiency will not be evident
• B) Productive efficiency will not be attained
• C) The elasticity of demand for the product will be relatively inelastic
• D) There will be very large profits

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Definitions:

Labor Unemployment

A situation where individuals who are willing and able to work are unable to find employment, often measured by the unemployment rate.

Employment Discrimination

Unfair treatment of employees or job applicants based on race, age, gender, religion, national origin, physical or mental disability, or sexual orientation, among other factors.

Underemployment

Failure to use our resources efficiently. A situation in which workers are employed in positions requiring less skill and education than they have or other resources are not employed in their most productive use.

Opportunity Cost

Loss of potential earnings from different choices when one is picked.