Which of the following is NOT an assumption of monopolistic competition?
a. Each firm's output is slightly different from other firms in the industry.
b. There are many firms in the industry.
c. Production occurs with increasing returns to scale technology.
d. Each firm faces a perfectly elastic demand curve.
Ans: d. Each firm faces a perfectly elastic demand curve.
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New social regulations usual are created as barriers to entry
Indicate whether the statement is true or false
If the marginal utility of Jordyn's 100th dollar of income is 40 utils and the marginal utility of Joshua's 10th dollar is 135 utils, we know
a. money means more to Jordyn than to Joshua b. money means more to Joshua than to Jordyn c. Jordyn has more income than Joshua d. Joshua has more income than Jordyn e. nothing, since we can't make interpersonal utility comparisons
Macroeconomics is concerned with
A. individual consumers. B. specific markets. C. a nation's economy. D. individual business firms.
The longer any price change lasts over time, the
A) more difficult it is to alter quantity demanded. B) the more quickly quantity demanded will return to its original level. C) the longer the short-run equilibrium will continue to be the short-run equilibrium. D) more quantity demanded will change.