Assume firms break even in an industry. New firms ________ attracted to the industry and current ones ________ exiting it.
A. are not; are
B. are; are
C. are; are not
D. are not; are not
Answer: D
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Which of the following are consequences of inflation? a. It increases the burdens on people with fixed incomes when inflation is not anticipated
b. It hurts savers who did not anticipate how high the inflation was, but helps those who have borrowed at a fixed rate before the inflation became apparent. c. Inflation imposes costs on people who devote resources to protecting themselves from expected inflation. d. all of the above
Barriers that prevent workers from entering particular labor markets
a. decrease wage rates in those markets b. increase employment in those markets c. decrease discrimination in those markets d. increase profits in those markets e. increase wage rates in those markets
What is a term referring to a table that shows the quantity supplied at a range of different prices?
a. demand curve b. demand schedule c. supply curve d. supply schedule
The mutual interdependence that characterizes oligopoly arises because:
A. the products of various firms are homogeneous. B. the products of various firms are differentiated. C. each firm in an oligopoly depends on its own pricing strategy and that of its rivals. D. the demand curves of firms are kinked at the prevailing price.