What is meant by the term "long-run competitive equilibrium?
What will be an ideal response?
Long-run competitive equilibrium refers to the situation in which the entry and exit of firms to and from a market results in the typical firm breaking even.
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Barriers to entry are forces that:
A. promote a more efficient allocation of resources across the economy. B. limit the government from intervening in markets. C. limit consumers from purchasing new products. D. limit new firms from joining an industry.
A market often characterized by one-on-one bargaining is a(n) ________ market.
A. general B. informal C. formal D. specific
According to the Ricardo-Barro effect, what is the effect on the real interest rate of a government budget surplus?
What will be an ideal response?
The cross-price elasticity of demand between Texaco gasoline and Mobil gasoline sold at the same intersection would be
a. positive b. negative c. 0 d. 1.0 e. -1.0