When a producer can control the market price for the good it sells, the producer
A. Is certain to make a profit.
B. Is an entrepreneur.
C. Has market power.
D. Is a perfectly competitive firm.
Answer: C
You might also like to view...
Maximizing surplus in a market depends not only on the amount bought and sold, but also on:
A. what those consumers do with it. B. how productive the sellers are. C. who buys and sells it. D. None of these statements is true.
In order for a firm to face a perfectly elastic demand curve, it must
a. be a large firm selling a standardized product b. be a small producer selling a standardized product c. be a small producer; its product may or may not be standardized d. be a large producer selling a non-standardized product e. sell a standardized product, but the size of the firm is irrelevant
Rational expectations refer to
A. the use of all available information in forecasting economic variables. B. the use of aggregate supply to forecast unemployment. C. the use of opportunity costs to forecast inflation. D. disinflation.
The steeper is the IS curve,
A) the more effective is monetary policy. B) the less effective is monetary policy. C) the effectiveness of monetary policy does not change. D) a given change in the money supply will have a greater effect on output.