Perfect competition is characterized by a large number of buyers and sellers with identical products and no significant barriers to entry
a. True
b. False
Indicate whether the statement is true or false
True
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Ann Trepreneur was formerly a landlord, renting her building for $1,200 a month. She now uses her building for her own florist shop. Pick the true statement
A) The building costs Ann $1,200 per month. B) Ann incurs no opportunity cost on the building. C) Ann uses the building as a free good. D) None of the above is true.
For a perfectly competitive firm at its long-run equilibrium
A) P = MR = MC = AC. B) P = MR > MC. C) accounting profit must be zero. D) there are no opportunity costs to be concerned with.
The demand for U.S. dollars in the foreign exchange market is determined by all of the following except
A. American demand for American products. B. Europeans who would rather hold U.S. dollars than euros. C. Foreign demand for American exports. D. Foreign demand for American investments.
In the short run, marginal cost is positive and increasing at output levels where total variable cost is ________ at a(n) ________ rate.
A. decreasing; increasing B. increasing; increasing C. decreasing; decreasing D. increasing; decreasing