A monopolistically competitive firm that is incurring a loss will ________ as long as its revenue covers variable costs.
A. produce in the long run
B. produce in the short run
C. earn a profit in the long run
D. shut down in the short run
Answer: B
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Suppose the price elasticity of demand for methamphetamine is -0.35
If decriminalization caused the price of methamphetamine to fall by 75 percent, what will be the percentage increase in the quantity of methamphetamine demanded? If the price elasticity is -3.5, what will be the percentage increase in quantity demanded?
Which of the following would most likely reduce the birthrate?
(a) public health improvements (b) an increase in child mortality (c) a decline in the availability of secondary education (d) a reduction in the opportunity cost of a woman's time (e) all of the above.
The demand curve a monopoly faces is
A) horizontal. B) vertical. C) upward sloping. D) downward sloping.
Unemployment insurance cannot eliminate the national costs of lost output due to unemployed labor.
Answer the following statement true (T) or false (F)