Question

Which of these would normally not be considered a market?

​a. A business executive offering several pairs of shoes for sale on e-Bay

​b. A couple walking through the lot at a car dealership, looking for a new family car

​c. A job-seeker sending his resume to LinkedIn in response to a job advertisement

​d. A group of retired autoworkers meeting at the mall for a morning power walk

_____ 14. In perfectly competitive markets:

​a. Firms produce identical products

​b. No individual buyer can influence the market price

​c. No individual seller can influence the market price

​d. All the above are correct

_____ 15. According to the Law of Demand, an increase in the price of a good will:

​a. Increase demand

​b. Decrease demand

​c. Increase quantity demanded

​d. Decrease quantity demanded

_____ 16. A table that shows the relationship between the price of a good and the quantity ​demanded of that good is called a:

​a. Price-quantity schedule

​b. Buyer schedule

​c. Demand schedule

​d. Supply schedule

Answer 1

Ans 13)

Option A) to C) represents necessity of buyers and sellers therefore it can be represented as market

First example of market where executive trying to sell shoes

Second example for market of car and third example of job market

Option D is not an example of market.

Hence option D is the answer

Ans 14)

In perfectly competitive market no buyer or seller can influence price and all producer sell homogenous goods

Hence option D is correct

Ans 15)

Option D is correct as price of good changes would change either quantity demanded or quantity supplied

Therefore as per law of demand price increase would decrease quantity demanded.

Ans 16)

Price of good and quantity demanded is demand schedule where Price of good and quantity supplied is supply schedule

Hence option C is correct.