Unit 3

Question 1

legal entity owned by individual stockholders

Accepted Answer

corporations

Question 2

Consumer sovereignty is....

Accepted Answer

the power of consumers to decide what gets produced

Question 3

A market for buying and selling stock

Accepted Answer

stock market

Question 4

producers sell products different form one antoher, not perfect substitutes

Accepted Answer

monopolistic competition

Question 5

The exclusive right to print, publish, record, film or print is known as..

Accepted Answer

copyright

Question 6

A market that runs most efficiently when one large firm supplies all of the output is...

Accepted Answer

natural monopoly

Question 7

A market dominated by a single seller

Accepted Answer

monopoly

Question 8

Licenses gives inventor new product exclusive right to sell for a certain period of time.

Accepted Answer

patent

Question 9

Formal contract to repay borrowed money with interest at fixed intervals

Accepted Answer

bonds

Question 10

a large number of firms all produce the same product

Accepted Answer

perfect competition

Question 11

A business owned and managed by a single individual

Accepted Answer

sole proprietorship

Question 12

What are three basic ways that firms finance operations?

Accepted Answer

retained earnings, stock issues, borrowing

Question 13

a few large firms dominate a market

Accepted Answer

oliogopoly

Questions 13