The exit of existing firms from a competitive market will
a. increase market supply and increase market price.
b. increase market supply and decrease market price.
c. decrease market supply and increase market price.
d. decrease market supply and decrease market price.
c
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What do economists mean when they refer to inflation as "general increase in the prices of goods and services."
A. Some prices are rising, some prices are falling, and some prices are constant, but on average, prices are increasing. B. Some prices are rising, some prices are falling, and some prices are constant, but on average, prices are decreasing. C. All prices are rising. D. All prices are falling.
What is the difference between scarcity and poverty?
What will be an ideal response?
The impact of technological change in the health care area has been to
A) reduce the quality of health care while raising the costs. B) reduce the cost of health care. C) increase the quality of health care while decreasing the costs. D) increase both the quality of health care and the costs of health care.
Price searchers can be expected to charge a price that
a. is the highest at which consumers will purchase any units. b. they expect to provide the largest possible flow of gross revenue. c. minimizes their per-unit costs of production. d. maximizes their profit.