According to the graph shown, in the long run we can expect that
These are the cost and revenue curves associated with a monopolistically competitive firm in the short run.
A. firms will enter the market.
B. firms will exit the market.
C. price will increase.
D. profits will increase.
A. firms will enter the market.
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A decrease in AS will trigger less inflation under which of the following conditions?
a. AD is relatively steep. b. AD is relatively flat. c. AS is relatively steep. d. AS is relatively flat.
The American national debt is an obligation to pay U.S.$.
Answer the following statement true (T) or false (F)
As it relates to R&D, the expected-rate-of-return curve, r:
A. usually slopes upward. B. shows the cost of financing various levels of R&D. C. varies in location depending on the location of the interest-rate cost-of-funds curve, i. D. represents the marginal benefit element in the MB = MC decision framework.
If a price decrease of a product significantly raises its revenues, then the absolute price elasticity of demand for that product must be
A. an example of unit elasticity. B. greater than one. C. less than one. D. equal to one.