In long-run equilibrium in a monopolistically competitive market, firms typically:
a. earn a normal profit
b. charge a price equal to marginal cost.
c. earn an above-normal profit.
d. charge a price equal to marginal revenue.
a
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A monopolist will earn economic profits as long as his price exceeds:
a. marginal revenue. b. average fixed cost. c. average variable cost. d. average total cost.
Determinants of the price elasticity of supply are:
A. availability of inputs, adjustment time. B. flexibility of the production process, whether the good is a luxury or a necessity. C. availability of inputs, whether the good is a luxury or a necessity. D. adjustment time, whether the good is a luxury or a necessity.
If a nation's government determines that consumption of cigarettes should be discouraged, then this means that the government has judged cigarettes to be a(n)
A) government-sponsored good. B) exclusive good. C) government-inhibited good. D) public good.
Trends in educational attainment in the U.S. since 1960 indicate that the percentage of adults:
A. Completing high school has been rising, and so has the percentage who do not go to high school nor complete elementary school B. Completing college has been rising, and so has the percentage completing high school C. Completing college has been constant, but the percentage completing high school has been rising D. Who do not go to high school has been falling, but the percentage who do not complete elementary school has been rising