One major similarity between perfect competition and monopolistic competition is that:
a. the firms earn above normal profits in the long run.
b. the firms are price makers.
c. the firms produce identical products.
d. the firms just break even in the long run.
e. entry of firms is barred in the long run.
d
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Hydraulic fracking involves pumping millions of gallons of chemically treated water into the wells at pressures of 9,000 pounds per square inch or more
a. True b. False Indicate whether the statement is true or false
When people shop more frequently and transfer money out of their bank account more often in an effort to help avoid the loss in purchasing power of cash, they bear the _____ costs of inflation
a. menu b. shoe-leather c. unit-of-account d. direct
Which one of the following would cause an increase in the supply of planes?
A. an improvement in the technology used to produce planes B. an increase in the price of planes C. an increase in taxes applied to plane producers D. a decrease in the demand for planes
A life insurance company is likely to require a health examination of a person applying for insurance. This helps reduce the informational problem through the process of:
A. screening. B. government regulation. C. signaling. D. creating an externality.