Download Chapter 7, Section 3 Questions

ECONOMICS
CHAPTER 7, SECTION 3 QUESTIONS
Please put your answers on a separate sheet of paper.
Use the market for fast food to answer the following
1. Give a partial list of the firms in the fast food market (5-7 firms).
2. How are there few artificial barriers to the fast food business?
3. Why would a fast food restaurant have some control over their pricing?
4. How is a hamburger “different”?
5. List the methods of non-price competition fast food firms employ to get an
advantage over their competition.
6. What two trends limit profits in a monopolistically competitive market?
7. Give examples of the “wide variety of goods” that people can choose from in the
fast food market.