Which of the following is an example of a permanent resource price differential?
a. When the price of oil increases, oil exploration increases.
b. When the price of CDs falls, CD production decreases.
c. When demand for land in a city increases, its price increases above prices of land elsewhere.
d. When demand for computer programmers increased, more people went into that field.
e. When the price of oil rose, demand for solar panels increased.
C
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Selling government bonds through open market operations allows the Federal Reserve to
A) decrease money in the Treasury. B) receive a high rate of interest on the bonds. C) decrease the money supply in the private sector. D) receive discounts on future sales.
A(n) ____ may offer products that are either differentiated or identical
a. monopolistically competitive firm b. monopolist c. oligopolistic firm d. perfectly competitive firm e. monopsonist
A market structure in which one firm makes up the entire market is:
A. perfect competition. B. monopolistic competition. C. an oligopoly. D. a monopoly.
Consider Figure 12.3. David chooses to charge a low price:
A. only if Becky chooses a high price. B. only if Becky chooses a low price. C. regardless of whether Becky chooses a high or low price. D. in order to induce Becky to choose a high price.