In monopolistic competition, the entry of new firms will cause all of the following to happen except
A. Long-run economic profits will be zero.
B. The industry marginal cost curve will shift to the right.
C. The industry cost curves will shift to the left.
D. The firm's demand curve will shift to the left.
Answer: C
You might also like to view...
A minimum wage rate that is set ________ the equilibrium real wage rate creates a ________ of labor
A) below; surplus B) below; shortage C) above; surplus D) above; shortage E) equal to; shortage
Taiwan and Jamaica are both islands that have pursued export-oriented development strategies, but Jamaica has experienced increases in unemployment and poverty, while Taiwan has experienced decreases. How might you explain this?
What will be an ideal response?
Quotas are most often supported by
A) foreign producers. B) foreign consumers. C) domestic consumers. D) domestic producers.
Ordinary income is taxed at a higher rate than capital gains
a. True b. False