As new monopolistically competitive firms enter the market, the demand facing each firm __________, causing the price charged by each firm to __________. In the long run, each firm will earn a __________ profit
a. falls; rise; positive
b. rises; fall; positive
c. falls; rise; normal
d. rises; fall; normal
e. falls; fall; normal
E
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________ discourage low-risk individuals from seeking health insurance
A) Low premiums B) High premiums C) High costs of medical treatment D) Low interest rates
If a demand curve shifts to the left, then
A) quantity demanded has increased. B) demand has increased. C) quantity demanded has decreased. D) demand has decreased.
The manager of the sales department (a profit center) at Harvey's HVAC, decides to outsource any sales training that the division needs since in house training is expensive, even though the outsourced training does not cover the company's repair and warranty information from the service department. Does the Sales department have enough incentive to make a good decision?
a. Yes, because them making the right decision would increase the division profit b. No, because them making the right decision does not affect the division profit c. No, because them making the right decision decreases the division profit d. Yes, because them making the right decision increases the company's total profits
When resources are commonly owned, there are incentives in place to ensure that the resources are used efficiently
a. True b. False Indicate whether the statement is true or false