Tackle the Test: Multiple-Choice Questions

1. Question

   Having which of the following makes it easier for oligopolies to coordinate on raising prices?

   A.

   a large number of firms

   B.

   differentiated products

   C.

   buyers with bargaining power

   D.

   identical perceptions of fairness

   E.

   complex pricing schemes

   Having which of the following makes it easier for oligopolies to coordinate on raising prices?

2. Question

   Which of the following led to the passage of the first antitrust laws?

   
   

   
   

   1. growth of the railroad industry

      
      
   
   

   2. the emergence of the Standard Oil Company

      
      
   
   

   3. increased competition in agricultural industries

      
      
   
   

   A.

   I only

   B.

   II only

   C.

   III only

   D.

   I and II only

   E.

   I, II, and III

   Which of the following led to the passage of the first antitrust laws?

3. Question

   When was the first federal legislation against cartels passed?

   A.

   1776

   B.

   1800

   C.

   1890

   D.

   1900

   E.

   1980

   When was the first federal legislation against cartels passed?

4. Question

   Which of the following industries has been prosecuted for creating an illegal cartel?

   A.

   the lysine industry

   B.

   the art auction house industry

   C.

   the U.S. electrical equipment industry

   D.

   the bulk vitamin industry

   E.

   all of the above

   Which of the following industries has been prosecuted for creating an illegal cartel?

5. Question

   Oligopolists engage in tacit collusion in order to

   A.

   raise prices.

   B.

   increase output.

   C.

   share profits.

   D.

   increase market share.

   E.

   all of the above.

   Oligopolists engage in tacit collusion in order to