At the profit-maximizing output, price is greater than marginal cost
a. for a monopolistically competitive firm only in the short run
b. for a monopolistically competitive firm only in the long run
c. for a monopolistically competitive firm in both the short run and the long run
d. for a perfectly competitive firm only in the short run
e. for a perfectly competitive firm only in the long run
C
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The real value of any variable is its nominal value:
A. adjusted for inflation. B. holding the base constant. C. adjusting for income. D. holding the basket constant.
The more elastic the demand curve, the smaller is the deadweight loss resulting from the imposition of a tax
a. True b. False Indicate whether the statement is true or false
Fixed costs are sometimes referred to as _____ costs because once you've obligated yourself to them, they cannot be recovered.
Fill in the blank(s) with the appropriate word(s).
The graph below shows the Chamberlin model. The dd curve is based on the assumption that 
A. market demand is more elastic than the demand for any one firm. B. firms all follow each other when any one of them changes price. C. firms can gain market share by lowering their price below the price of the competition. D. firms will follow any price increases of their competitors.