Practice IBPS PO 2023 Prelims English PYQ – 30 Sep 2023 Shift 2 (30 Questions with Solutions)

Read the passage to answer the given questions. Some words are highlighted to help you answer some of the questions.

One type of violation of the antitrust laws is the abuse of monopoly power. Monopoly power is the ability of a firm to raise its prices above the competitive level—that is, above the level that would exist naturally if several firms had to compete. In order to show that a firm has abused monopoly power, and thereby violated the antitrust laws, two essential facts must be established. First, a firm must be shown to possess monopoly power, and second, that power must have been used to exclude competition in the monopolized market.

The price, a firm may charge for its product, is constrained by the availability of its close substitutes. If a firm attempts to charge a higher price—a supracompetitive price—customers will turn to other firms that supply __________ (blank) products at competitive prices. If a firm provides a large percentage of the products actually or potentially available, however, customers may find it difficult to buy from alternative suppliers. Consequently, a firm with a large share of the relevant market of substitutable products may be able to raise its price without losing many customers. For this reason, courts often use market share as a rough indicator of monopoly power.

Supracompetitive prices are associated with a loss of consumers’ welfare because such prices force some consumers to buy a less attractive product than they would ordinarily buy. Supracompetitive prices, however, do not themselves constitute an abuse of monopoly power. Antitrust laws do not attempt to counter the mere existence of monopoly power. For example, a firm enjoying economies of scale—that is, low unit production costs due to high volume—does not violate the antitrust laws when it obtains a large market share by charging prices that are profitable but so low that its smaller rivals cannot survive. If the antitrust laws posed disincentives to the existence and growth of such firms, the laws could impair consumers’ welfare. Even if the firm, upon acquiring monopoly power, chose to raise prices in order to increase profits, it would not be in violation of the antitrust laws.

According to the passage, why do courts often use market share as a rough indicator of monopoly power?

Read the passage to answer the given questions. Some words are highlighted to help you answer some of the questions.

One type of violation of the antitrust laws is the abuse of monopoly power. Monopoly power is the ability of a firm to raise its prices above the competitive level—that is, above the level that would exist naturally if several firms had to compete. In order to show that a firm has abused monopoly power, and thereby violated the antitrust laws, two essential facts must be established. First, a firm must be shown to possess monopoly power, and second, that power must have been used to exclude competition in the monopolized market.

The price, a firm may charge for its product, is constrained by the availability of its close substitutes. If a firm attempts to charge a higher price—a supracompetitive price—customers will turn to other firms that supply __________ (blank) products at competitive prices. If a firm provides a large percentage of the products actually or potentially available, however, customers may find it difficult to buy from alternative suppliers. Consequently, a firm with a large share of the relevant market of substitutable products may be able to raise its price without losing many customers. For this reason, courts often use market share as a rough indicator of monopoly power.

Supracompetitive prices are associated with a loss of consumers’ welfare because such prices force some consumers to buy a less attractive product than they would ordinarily buy. Supracompetitive prices, however, do not themselves constitute an abuse of monopoly power. Antitrust laws do not attempt to counter the mere existence of monopoly power. For example, a firm enjoying economies of scale—that is, low unit production costs due to high volume—does not violate the antitrust laws when it obtains a large market share by charging prices that are profitable but so low that its smaller rivals cannot survive. If the antitrust laws posed disincentives to the existence and growth of such firms, the laws could impair consumers’ welfare. Even if the firm, upon acquiring monopoly power, chose to raise prices in order to increase profits, it would not be in violation of the antitrust laws.

Why does the passage suggest that antitrust laws do not attempt to counter the mere existence of monopoly power?

Read the passage to answer the given questions. Some words are highlighted to help you answer some of the questions.

One type of violation of the antitrust laws is the abuse of monopoly power. Monopoly power is the ability of a firm to raise its prices above the competitive level—that is, above the level that would exist naturally if several firms had to compete. In order to show that a firm has abused monopoly power, and thereby violated the antitrust laws, two essential facts must be established. First, a firm must be shown to possess monopoly power, and second, that power must have been used to exclude competition in the monopolized market.

The price, a firm may charge for its product, is constrained by the availability of its close substitutes. If a firm attempts to charge a higher price—a supracompetitive price—customers will turn to other firms that supply __________ (blank) products at competitive prices. If a firm provides a large percentage of the products actually or potentially available, however, customers may find it difficult to buy from alternative suppliers. Consequently, a firm with a large share of the relevant market of substitutable products may be able to raise its price without losing many customers. For this reason, courts often use market share as a rough indicator of monopoly power.

Supracompetitive prices are associated with a loss of consumers’ welfare because such prices force some consumers to buy a less attractive product than they would ordinarily buy. Supracompetitive prices, however, do not themselves constitute an abuse of monopoly power. Antitrust laws do not attempt to counter the mere existence of monopoly power. For example, a firm enjoying economies of scale—that is, low unit production costs due to high volume—does not violate the antitrust laws when it obtains a large market share by charging prices that are profitable but so low that its smaller rivals cannot survive. If the antitrust laws posed disincentives to the existence and growth of such firms, the laws could impair consumers’ welfare. Even if the firm, upon acquiring monopoly power, chose to raise prices in order to increase profits, it would not be in violation of the antitrust laws.

According to the passage, which scenario does not violate antitrust laws?

Read the passage to answer the given questions. Some words are highlighted to help you answer some of the questions.

One type of violation of the antitrust laws is the abuse of monopoly power. Monopoly power is the ability of a firm to raise its prices above the competitive level—that is, above the level that would exist naturally if several firms had to compete. In order to show that a firm has abused monopoly power, and thereby violated the antitrust laws, two essential facts must be established. First, a firm must be shown to possess monopoly power, and second, that power must have been used to exclude competition in the monopolized market.

The price, a firm may charge for its product, is constrained by the availability of its close substitutes. If a firm attempts to charge a higher price—a supracompetitive price—customers will turn to other firms that supply __________ (blank) products at competitive prices. If a firm provides a large percentage of the products actually or potentially available, however, customers may find it difficult to buy from alternative suppliers. Consequently, a firm with a large share of the relevant market of substitutable products may be able to raise its price without losing many customers. For this reason, courts often use market share as a rough indicator of monopoly power.

Supracompetitive prices are associated with a loss of consumers’ welfare because such prices force some consumers to buy a less attractive product than they would ordinarily buy. Supracompetitive prices, however, do not themselves constitute an abuse of monopoly power. Antitrust laws do not attempt to counter the mere existence of monopoly power. For example, a firm enjoying economies of scale—that is, low unit production costs due to high volume—does not violate the antitrust laws when it obtains a large market share by charging prices that are profitable but so low that its smaller rivals cannot survive. If the antitrust laws posed disincentives to the existence and growth of such firms, the laws could impair consumers’ welfare. Even if the firm, upon acquiring monopoly power, chose to raise prices in order to increase profits, it would not be in violation of the antitrust laws.

Which of the following statements is true regarding supracompetitive prices?

Read the passage to answer the given questions. Some words are highlighted to help you answer some of the questions.

One type of violation of the antitrust laws is the abuse of monopoly power. Monopoly power is the ability of a firm to raise its prices above the competitive level—that is, above the level that would exist naturally if several firms had to compete. In order to show that a firm has abused monopoly power, and thereby violated the antitrust laws, two essential facts must be established. First, a firm must be shown to possess monopoly power, and second, that power must have been used to exclude competition in the monopolized market.

The price, a firm may charge for its product, is constrained by the availability of its close substitutes. If a firm attempts to charge a higher price—a supracompetitive price—customers will turn to other firms that supply __________ (blank) products at competitive prices. If a firm provides a large percentage of the products actually or potentially available, however, customers may find it difficult to buy from alternative suppliers. Consequently, a firm with a large share of the relevant market of substitutable products may be able to raise its price without losing many customers. For this reason, courts often use market share as a rough indicator of monopoly power.

Supracompetitive prices are associated with a loss of consumers’ welfare because such prices force some consumers to buy a less attractive product than they would ordinarily buy. Supracompetitive prices, however, do not themselves constitute an abuse of monopoly power. Antitrust laws do not attempt to counter the mere existence of monopoly power. For example, a firm enjoying economies of scale—that is, low unit production costs due to high volume—does not violate the antitrust laws when it obtains a large market share by charging prices that are profitable but so low that its smaller rivals cannot survive. If the antitrust laws posed disincentives to the existence and growth of such firms, the laws could impair consumers’ welfare. Even if the firm, upon acquiring monopoly power, chose to raise prices in order to increase profits, it would not be in violation of the antitrust laws.

What are the two essential facts that must be established to show that a firm has violated the antitrust laws by abusing monopoly power?

Read the passage to answer the given questions. Some words are highlighted to help you answer some of the questions.

One type of violation of the antitrust laws is the abuse of monopoly power. Monopoly power is the ability of a firm to raise its prices above the competitive level—that is, above the level that would exist naturally if several firms had to compete. In order to show that a firm has abused monopoly power, and thereby violated the antitrust laws, two essential facts must be established. First, a firm must be shown to possess monopoly power, and second, that power must have been used to exclude competition in the monopolized market.

The price, a firm may charge for its product, is constrained by the availability of its close substitutes. If a firm attempts to charge a higher price—a supracompetitive price—customers will turn to other firms that supply __________ (blank) products at competitive prices. If a firm provides a large percentage of the products actually or potentially available, however, customers may find it difficult to buy from alternative suppliers. Consequently, a firm with a large share of the relevant market of substitutable products may be able to raise its price without losing many customers. For this reason, courts often use market share as a rough indicator of monopoly power.

Supracompetitive prices are associated with a loss of consumers’ welfare because such prices force some consumers to buy a less attractive product than they would ordinarily buy. Supracompetitive prices, however, do not themselves constitute an abuse of monopoly power. Antitrust laws do not attempt to counter the mere existence of monopoly power. For example, a firm enjoying economies of scale—that is, low unit production costs due to high volume—does not violate the antitrust laws when it obtains a large market share by charging prices that are profitable but so low that its smaller rivals cannot survive. If the antitrust laws posed disincentives to the existence and growth of such firms, the laws could impair consumers’ welfare. Even if the firm, upon acquiring monopoly power, chose to raise prices in order to increase profits, it would not be in violation of the antitrust laws.

Which of the following words will fit into the given blank in the passage?

Read the passage to answer the given questions. Some words are highlighted to help you answer some of the questions.

One type of violation of the antitrust laws is the abuse of monopoly power. Monopoly power is the ability of a firm to raise its prices above the competitive level—that is, above the level that would exist naturally if several firms had to compete. In order to show that a firm has abused monopoly power, and thereby violated the antitrust laws, two essential facts must be established. First, a firm must be shown to possess monopoly power, and second, that power must have been used to exclude competition in the monopolized market.

The price, a firm may charge for its product, is constrained by the availability of its close substitutes. If a firm attempts to charge a higher price—a supracompetitive price—customers will turn to other firms that supply __________ (blank) products at competitive prices. If a firm provides a large percentage of the products actually or potentially available, however, customers may find it difficult to buy from alternative suppliers. Consequently, a firm with a large share of the relevant market of substitutable products may be able to raise its price without losing many customers. For this reason, courts often use market share as a rough indicator of monopoly power.

Supracompetitive prices are associated with a loss of consumers’ welfare because such prices force some consumers to buy a less attractive product than they would ordinarily buy. Supracompetitive prices, however, do not themselves constitute an abuse of monopoly power. Antitrust laws do not attempt to counter the mere existence of monopoly power. For example, a firm enjoying economies of scale—that is, low unit production costs due to high volume—does not violate the antitrust laws when it obtains a large market share by charging prices that are profitable but so low that its smaller rivals cannot survive. If the antitrust laws posed disincentives to the existence and growth of such firms, the laws could impair consumers’ welfare. Even if the firm, upon acquiring monopoly power, chose to raise prices in order to increase profits, it would not be in violation of the antitrust laws.

Which of the following words is the synonym of ‘impair’ as highlighted in the given passage?

Read the passage to answer the given questions. Some words are highlighted to help you answer some of the questions.

One type of violation of the antitrust laws is the abuse of monopoly power. Monopoly power is the ability of a firm to raise its prices above the competitive level—that is, above the level that would exist naturally if several firms had to compete. In order to show that a firm has abused monopoly power, and thereby violated the antitrust laws, two essential facts must be established. First, a firm must be shown to possess monopoly power, and second, that power must have been used to exclude competition in the monopolized market.

The price, a firm may charge for its product, is constrained by the availability of its close substitutes. If a firm attempts to charge a higher price—a supracompetitive price—customers will turn to other firms that supply __________ (blank) products at competitive prices. If a firm provides a large percentage of the products actually or potentially available, however, customers may find it difficult to buy from alternative suppliers. Consequently, a firm with a large share of the relevant market of substitutable products may be able to raise its price without losing many customers. For this reason, courts often use market share as a rough indicator of monopoly power.

Supracompetitive prices are associated with a loss of consumers’ welfare because such prices force some consumers to buy a less attractive product than they would ordinarily buy. Supracompetitive prices, however, do not themselves constitute an abuse of monopoly power. Antitrust laws do not attempt to counter the mere existence of monopoly power. For example, a firm enjoying economies of scale—that is, low unit production costs due to high volume—does not violate the antitrust laws when it obtains a large market share by charging prices that are profitable but so low that its smaller rivals cannot survive. If the antitrust laws posed disincentives to the existence and growth of such firms, the laws could impair consumers’ welfare. Even if the firm, upon acquiring monopoly power, chose to raise prices in order to increase profits, it would not be in violation of the antitrust laws.

Which of the following words is the antonym of ‘essential’ as highlighted in the given passage?

The sentence below is divided into parts, one of which may contain an error. Choose the part with the error. If the sentence has no error, choose “No Error”.

She asked me to lent (A)/ her some money (B)/ as she was (C)/ running out of cash (D)/ No Error (E).

The sentence below is divided into parts, one of which may contain an error. Choose the part with the error. If the sentence has no error, choose “No Error”.

Despite of (A)/ his busy schedule, (B)/ he manages to (C)/ spend time with his family (D)/ No Error (E).