A monopolist hires fewer workers than a perfectly competitive industry, other things being equal, because
A) a monopolist has to pay higher wages in order to attract additional workers.
B) the monopolist substitutes more capital for labor when compared to a competitive industry.
C) the monopolist producer has to deal with unions and face higher wages than do competitive industries.
D) the monopolist produces less output than a competitive industry.
D
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Which of the following might increase the supply curve of labor?
a. Elimination of discrimination against blacks. b. Elimination of discrimination against females. c. Easing licensing requirements. d. All of these.
The amount of money actually received in a particular period is called:
A. nominal income. B. real income. C. a cost-of-living index. D. consumer surplus.
When businesses have market power, they are able to charge a price higher than the price charged by a business in perfect competition. Thus,the market power equilibrium on a diagram will be
A. lower and to the left of the perfect competition equilibrium. B. lower and to the right of the perfect competition equilibrium. C. higher and to the right of the perfect competition equilibrium. D. higher and to the left of the perfect competition equilibrium.
Monopolies can earn positive economic profits in the long run while monopolistically competitive firms cannot due to
A. market power of monopolies while monopolistically competitive firms have no market power. B. barriers to entry in monopoly but not in monopolistic competition. C. economies of scale in monopolies but not in monopolistic competition. D. the less elastic demand faced by monopolies as compared to monopolistically competitive firms.