Perfectly competitive industries are characterized by a homogeneous product.
Answer the following statement true (T) or false (F)
True
You might also like to view...
The period of time in which the level of output moves from a trough to a peak is called a
A) contraction or recession. B) recovery or expansion. C) plateau. D) depression.
A decrease in wealth leads to a
A) downward movement along the supply of loanable funds curve. B) rightward shift of the demand for loanable funds curve. C) leftward shift of the demand for loanable funds curve. D) rightward shift of the supply of loanable funds curve. E) leftward shift of the supply of loanable funds curve.
An assumption that affects a model in important ways is
a. a key step b. a simplifying assumption c. a bad assumption, one that should be avoided in economic theory d. a critical assumption e. one that should be replaced with empirical evidence
Suppose that X and Y are substitutes. If the price of Y increases, how will this change the market equilibrium for X?
a. Equilibrium price declines, and equilibrium quantity rises. b. Equilibrium price rises, and equilibrium quantity falls. c. Equilibrium price and quantity both decline. d. Equilibrium price and quantity both rise.