Because of easy entry, monopolistically competitive firms will
a. produce at the lowest average total cost
b. charge a price equal to marginal cost
c. earn no economic profit in the long run
d. take advantage of all economies of scale
e. earn no economic profit in the short run
C
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____ is the price at which an intermediate good or service is transferred from the selling to the buying division within the same firm
a. Incremental price b. Marginal price c. Full-cost price d. Transfer price e. none of the above
If the marginal propensity to import is ________, then a $2 trillion increase in disposable income would increase import expenditure by $0.2 trillion
If the marginal propensity to import is ________, then a $2 trillion increase in disposable income would increase import expenditure by $0.6 trillion. A) 0.1; 0.3 B) 0.6; 2.0 C) 0.2; 0.6 D) 1.0; 3.0 E) 0.3; 0.1
The immediate (two-day) exchange of one currency for another is a
A) forward transaction. B) spot transaction. C) money transaction. D) exchange transaction.
After the ban on the production and sale of alcohol ended in 1933,
a. the quality of alcohol sold declined. b. the murder rate declined. c. the profit rate for bootleg sellers of alcohol increased. d. all of the above occurred.