Which of the following best approximates a pure monopoly?
A. The foreign exchange market.
B. The Kansas City wheat market.
C. The only bank in a small town.
D. The soft drink market.
Answer: C
You might also like to view...
The supplier of a factor of production has a reservation price of $100. The purchaser of the factor of production has a reservation price of $200. If the factor of production is unique, then:
A. a transaction will occur, and the price paid for the factor of production will be $150. B. a transaction will occur, and the price paid for the factor of production will be $100. C. there will be no transaction since $200 is greater than $100. D. a transaction will occur, and the price paid for the factor of production will be $200.
Use to following graph. 
Suppose Asarta Inc. is polluting yucko and they have been tasked with cleaning up some of their waste. If they are cleaning up Q tons of yucko then they are cleaning:
A. too little. B. too much. C. just the right amount. D. the allocatively efficient amount.
If it costs Sinclair $300 to produce 3 suede jackets and $420 to produce 4 suede jackets, then the difference of $120 is the marginal cost of producing the 4th suede jacket
Indicate whether the statement is true or false
If the Federal Reserve buys $3 billion worth of Japanese yen and sells $5 billion of euros, how does this affect the balance of payments?
A) Falls by $2 billion B) Rises by $2 billion C) Rises by $3 billion D) Falls by $5 billion