Market Imperfections (AQA A-Level Economics): Quizzes
📚Quizzes
Practise the questions
10 questions from this quiz
ShowHide
Practise the questions
10 questions from this quiz
What are market imperfections?
What are market imperfections?
Deviations from perfect competition
Why might firms in oligopolies be tempted to collude?
Why might firms in oligopolies be tempted to collude?
To reduce uncertainty about rivals' responses
What distinguishes asymmetric information from imperfect information?
What distinguishes asymmetric information from imperfect information?
One party knows significantly more than other
In the second-hand car market, what happens due to asymmetric information?
In the second-hand car market, what happens due to asymmetric information?
Good-quality car prices are driven down
How do monopolies typically cause market failure?
How do monopolies typically cause market failure?
Restrict output and raise prices
When might monopoly benefits exceed costs?
When might monopoly benefits exceed costs?
Natural monopolies with high fixed costs
What are the two main forms of labour immobility?
What are the two main forms of labour immobility?
Occupational and geographical
What causes occupational immobility of labour?
What causes occupational immobility of labour?
Expensive training requirements
What is a key consequence of labour immobility?
What is a key consequence of labour immobility?
Persistent unemployment in some areas
How did Uber reduce market imperfections in the London taxi market?
How did Uber reduce market imperfections in the London taxi market?
Reduced barriers to labour market entry