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Doctors Medicines MCQs Q&A

Which two of the following statements are true?
I. A simple monopoly firm always earns super normal profit
II. Sweezy's kinked demand curve model is the best known model explaining relatively more satisfactory behaviour of oligopoly firm for price rigidity
III. A perfectly competitive firm is price-taker
IV. Firms under monopolistic competition earn only normal profits
Choose the correct option from those below

Which two of the following statements are true?
I. A simple monopoly firm always earns super normal profit
II. Sweezy's kinked demand curve model is the best known model explaining relatively more satisfactory behaviour of oligopoly firm for price rigidity
III. A perfectly competitive firm is price-taker
IV. Firms under monopolistic competition earn only normal profits
Choose the correct option from those below Correct Answer II and III

Related Questions

Which two of the following statements are true? a) A simple monopoly firm always earns super normal profit  b) Sweezy's kinked demand curve model is the best known model explaining relatively more satisfactory behaviour of oligopoly firm for price rigidity  c) A perfectly competitive firm is price - taker  d) Firms under monopolistic competition earn only normal profits  Choose the correct option from those below 
Consider the following statements about Oligopoly and Monopoly. 1. A monopoly occurs when one firm that produces a product or service controls the market with no close substitute. 2. In an oligopoly, a group of smaller firms—usually two or more—controls the market. Which of the above statements is/are NOT correct?
There are five statements given below: i. karim earns more than Rahim but less than Raihan ii. Tarique earns more than Farid iii. Rahim earns more than Rariq iv. Raihan and Rarique earn equal amounts v. Farid earns the least amount which of the above statements prove that Tarique earns more money than Rafiq?
P, Q, R, S, T, V and W are seven members of the family. There are three female members. Each of them has a difference profession-­Lawyer, Chartered Accountant (CA), Engineer, Teacher, Doctor, Architect and Pharmacist. No Lady is either a pharmacist or a chartered Accountant. Each of them has a different monthly income. The chartered accountant earns the most. S, the engineer, earns less than V, the doctor. R, the teacher, earns more than P and less than S. W’s wife earns the least. T is an unmarried lady Lawyer and she earns less than P and more than only Q. The pharmacist’s income is not the lowest Who earns the least?
Read the following passage carefully and choose the most appropriate answer to the question out of the four alternatives.
Most economists in the United States seem captivated by the spell of the free market. Consequently, nothing seems good or normal that does notaccord with the requirements of the free market. A price that is determined by the seller or, for that matter (for that matter: so far as that isconcerned), established by anyone other than the aggregate of consumers seems pernicious. Accordingly, it requires a major act of will to thinkof price-fixing (the determination of prices by the seller) as both "normal" and having a valuable economic function. In fact, price-fixing is normalin all industrialized societies because the industrial system itself provides, as an effortless consequence of its own development, the price-fixingthat it requires. Modern industrial planning requires and rewards great size. Hence, a comparatively small number of large firms will be competingfor the same group of consumers. That each large firm will act with consideration of its own needs and thus avoid selling its products for morethan its competitors charge is commonly recognized by advocates of free-market economic theories. But each large firm will also act with fullconsideration of the needs that it has in common with the other large firms competing for the same customers. Price-fixing is a phenomenon that is normal in -
In a family, there are five members P, Q, S, T, and O. P earns less than T but more than S. Q earns more than two members. If Q earns more than P and O earns more than T then who among the following earn less? 
The question below consists of a set of labelled sentences. Out of the four given options, select the most logical order of the sentences to form a coherent paragraph. P- The measure of market structure helps in determining whether the market enjoys perfect competition, monopoly or monopolistic competition. Q- It means that in more concentrated markets the bigger players tend to be collusive and try to dominate the market. R- Also, their actions have a considerable impact on the other market players. S- This is also known for measuring the ‘monopoly power hypothesis’.
Read the following passage carefully and choose the most appropriate answer to the question out of the four alternatives.
Most economists in the United States seem captivated by the spell of the free market. Consequently, nothing seems good or normal that does notaccord with the requirements of the free market. A price that is determined by the seller or, for that matter (for that matter: so far as that isconcerned), established by anyone other than the aggregate of consumers seems pernicious. Accordingly, it requires a major act of will to thinkof price-fixing (the determination of prices by the seller) as both "normal" and having a valuable economic function. In fact, price-fixing is normalin all industrialized societies because the industrial system itself provides, as an effortless consequence of its own development, the price-fixingthat it requires. Modern industrial planning requires and rewards great size. Hence, a comparatively small number of large firms will be competingfor the same group of consumers. That each large firm will act with consideration of its own needs and thus avoid selling its products for morethan its competitors charge is commonly recognized by advocates of free-market economic theories. But each large firm will also act with fullconsideration of the needs that it has in common with the other large firms competing for the same customers. Selling a commodity at a price that is not more than that charged by competitors is -
In making decisions about important questions, it is desirable to be able to distinguish between strong and weak arguments. Strong arguments are those, which are both important and directly related to the question. Weak arguments are those, which are of minor importance and also may not be directly related to the question or may be related to a trivial aspect of the question. The questions below are followed by two arguments each numbered I and II. You have to decide which of the two arguments is the strong argument and which is the weak argument. Statement: In a competitive market, if one firm reduces its prices then should other firms also reduce their prices? Arguments: Yes. If the other firms do not reduce their prices, they would lose customers. No. The other firms will start facing losses by reducing their prices.
The kinked demand curve model of oligopoly assumes that the price elasticity of demand