Assume the market for orange juice is perfectly competitive. Orange juice producers currently earn a zero economic profit. Orange juice producers will likely begin to incur economic losses in the short run, and some producers will exit the industry until those remaining earn a zero economic profit, if consumers
A. switch from grape juice to orange juice.
B. do not change their demand for orange juice.
C. switch from orange juice to grape juice.
D. All of the above are correct.
Answer: C
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A four-firm concentration ratio measures
A) the price elasticity of demand in an industry. B) the price elasticity of demand among the four largest firms in an industry. C) the extent to which industry sales are concentrated among the four largest firms in the industry. D) the number of firms in an industry.
The president from which Federal Reserve Bank always has a vote in the Federal Open Market Committee?
A) Philadelphia B) Boston C) San Francisco D) New York
If the interest rate is 10 percent per year, and you have $100,000 now, which of the following is closest to what your $100,000 will be worth in three years?
A) $155,000 B) $115,000 C) $120,000 D) $133,000
The total U.S. labor force excludes those
a. under age 20. b. under age 18. c. under age 16. d. over age 70.