List the characteristics of a monopolistically competitive market
What will be an ideal response?
(1.) A large number of firms.
(2.) No barriers to entry.
(3.) Product differentiation.
You might also like to view...
The above figure shows the U.S. market for 1 carat diamonds. Area B + area D is the
A) decrease in consumer surplus due to the import quota. B) importers' profit from the quota. C) gain in total surplus due to the import quota. D) deadweight loss from the import quota. E) increase in producer surplus due to the import quota.
In recent years, average household income in the United States was highest for households headed by someone aged
A) 35 to 44. B) 45 to 54. C) 55 to 64. D) 65 and over.
The paradox of value can be resolved by distinguishing between
A) quantity demanded and quantity supplied. B) supply and quantity supplied. C) normative and positive statements. D) total utility and marginal utility.
When a family's income is low and it is spending more on consumption than it is receiving in income
A) the APC must be increasing. B) the APC must be equal to the ratio of planned consumption expenditure to total saving. C) the MPC must be zero. D) some segment of the consumption function curve lies above the 45-degree line, indicating dissaving.