If a monopolistically competitive firm's demand curve is shifting left, it will stop shifting when:
A. firms are positive but not large economic profit.
B. the firm is earning zero economic profit.
C. the firm is earning negative economic profit.
D. price falls to marginal cost.
Answer: B
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A natural experiment is an empirical study:
A) in which the predictions of the model are not required to be tested with data. B) in which some process, outside the control of the experimenter, has assigned subjects to control and treatment groups in a random or nearly random way. C) in which the researcher assigns subjects to control and treatment groups to verify a cause-effect relationshi
________ wages are wages paid by employers to increase worker motivation and productivity
A) Real B) Nominal C) Minimum D) Efficiency
Today, bank runs are not a major problem for the U.S. banking system because
a. bank runs are now illegal. b. banks now hold 100 percent of their deposits in reserve. c. banks are now all government-operated. d. the federal government now guarantees the safety of deposits at most banks.
Use the information provided in Table 7.4 below to answer the question(s) that follow. Table 7.4Inputs Required to Produce a Product Using Alternative TechnologiesTechnologyUnits of CapitalNumber of EmployeesA 836B 1224C 1616D 24 12Refer to Table 7.4. If the hourly price of capital is $20 and the hourly wage rate is $14, which production technology should be selected?
A. A B. B C. C D. D