Which of the following is most likely to contribute to the presence of monopoly in an industry?
a. economies of scale
b. an elastic market demand for the product produced by the industry
c. inefficiency due to bureaucratic decision-making procedures in the industry
d. controlling over 50 percent of the market
A
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A nation's population was 250 million last year and is 255 million this year. If its real GDP was $8.5 trillion last year and is $8.8 trillion this year, what is its growth rate of real GDP per person?
What will be an ideal response?
If an additional dollar spent on monitoring would reduce shirking by 10 minutes, then the firm will increase the worker's wage by $1 if this caused
A) shirking to increase by less than 10 minutes. B) shirking to decrease by more than 10 minutes. C) shirking to decrease by less than 10 minutes. D) monitoring to become unnecessary.
Among the following situations, which one is least likely to apply to a monopolistically competitive firm?
a. profit is positive in the short run b. total cost exceeds total revenue in the short run c. profit is positive in the long run d. total revenue equals total cost in the long run
If the demand for illegal drugs is inelastic, then a government policy that causes illegal drug price to rise would cause those who support their drug habit by property theft to:
A. increase their theft to pay for their drugs. B. increase their drug dependency. C. reduce their theft to pay for their drugs. D. end their drug dependency.