Assume that the market for consumer gasoline is perfectly competitive. When one additional seller (gas station) enters the market,
A) then at least one other seller must exit the market.
B) the price of gasoline increases.
C) the price of gasoline is left unaffected.
D) the price of gasoline decreases.
E) None of the above is correct.
C
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In 2012, consumers in Dexter consumed only books and pens. The prices and quantities for 2012 and 2013 are listed in the table above. The reference base period for Dexter's CPI is 2012. What is the cost of the CPI basket in 2013?
A) $430 B) $335 C) $320 D) $540
A sizable appreciation of the U.S. dollar in the mid-1980s
A. raised U.S. exports and imports. B. raised U.S. exports and reduced imports. C. reduced U.S. exports and imports. D. reduced U.S. exports and raised imports.
A monopolist produces an output level where marginal revenue equals marginal cost and charges a price where marginal cost equals average total cost
a. True b. False Indicate whether the statement is true or false
Which condition will encourage competition?
A. A small number of buyers and sellers in a market. B. The freedom of sellers and buyers to enter or exit an industry. C. Government licensing requirements in order to enter an industry. D. The government serving as the only supplier of goods to consumers.