Pricing under Various Forms of Market – MCQs
(Most Expected MCQs for JKSSB, UPSC, SSC | Home Academy)
1. A market where there are many buyers and sellers selling identical products is called
A. Monopoly
B. Oligopoly
C. Perfect competition
D. Monopolistic competition
✅ Answer: C. Perfect competition
2. In perfect competition firms are
A. Price makers
B. Price takers
C. Market controllers
D. Government regulators
✅ Answer: B. Price takers
3. A market structure with a single seller is called
A. Perfect competition
B. Oligopoly
C. Monopoly
D. Monopolistic competition
✅ Answer: C. Monopoly
4. In monopoly the firm has
A. No control over price
B. Partial control over price
C. Complete control over price
D. No influence on market
✅ Answer: C. Complete control over price
5. Monopolistic competition is characterized by
A. Identical products
B. Product differentiation
C. No competition
D. Single seller
✅ Answer: B. Product differentiation
6. A market dominated by a few large firms is called
A. Monopoly
B. Perfect competition
C. Oligopoly
D. Monopolistic competition
✅ Answer: C. Oligopoly
7. Interdependence among firms is a feature of
A. Monopoly
B. Oligopoly
C. Perfect competition
D. Monopolistic competition
✅ Answer: B. Oligopoly
8. Which market structure has free entry and exit of firms?
A. Monopoly
B. Perfect competition
C. Oligopoly
D. Cartel
✅ Answer: B. Perfect competition
9. Advertising is commonly used in
A. Perfect competition
B. Monopoly
C. Monopolistic competition
D. Agriculture markets
✅ Answer: C. Monopolistic competition
10. The concept of perfect competition was developed by
A. Alfred Marshall
B. Adam Smith
C. John Maynard Keynes
D. Karl Marx
✅ Answer: A. Alfred Marshall
11. In perfect competition products are
A. Differentiated
B. Homogeneous
C. Unique
D. Branded
✅ Answer: B. Homogeneous
12. Barriers to entry are highest in
A. Perfect competition
B. Monopolistic competition
C. Monopoly
D. Agricultural market
✅ Answer: C. Monopoly
13. Which market structure involves price leadership?
A. Monopoly
B. Perfect competition
C. Oligopoly
D. Monopolistic competition
✅ Answer: C. Oligopoly
14. In monopolistic competition firms compete mainly through
A. Government policy
B. Advertising and branding
C. Price fixing
D. Taxation
✅ Answer: B. Advertising and branding
15. Which of the following is an example of monopolistic competition?
A. Electricity supply
B. Railway services
C. Restaurants and clothing brands
D. Wheat market
✅ Answer: C. Restaurants and clothing brands
16. In monopoly there is
A. One seller and many buyers
B. Many sellers and many buyers
C. Few sellers and many buyers
D. Many sellers and one buyer
✅ Answer: A. One seller and many buyers
17. The agricultural market is closest to
A. Monopoly
B. Perfect competition
C. Oligopoly
D. Monopolistic competition
✅ Answer: B. Perfect competition
18. The main feature of monopolistic competition is
A. No competition
B. Product differentiation
C. Single seller
D. Government control
✅ Answer: B. Product differentiation
19. Which market structure has the highest level of competition?
A. Monopoly
B. Oligopoly
C. Perfect competition
D. Monopolistic competition
✅ Answer: C. Perfect competition
20. The number of firms in oligopoly is
A. One
B. Two
C. Few
D. Many
✅ Answer: C. Few