The entry of new firms into a perfectly competitive market will cause:
A) both the equilibrium price and quantity to increase.
B) both the equilibrium price and quantity to decrease.
C) the equilibrium price to increase but the equilibrium quantity to decrease.
D) the equilibrium price to decrease but the equilibrium quantity to increase.
D
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If U.S. official reserves increase, is the official settlements account balance positive, negative, or unaffected?
What will be an ideal response?
Consider the market for turkeys. In the United States, because of Thanksgiving in the month of November,
A) there is a downward movement along the demand curve for turkeys. B) there is an upward movement along the supply curve for turkeys. C) the supply curve of turkeys shifts leftward. D) the demand curve for turkeys shifts leftward. E) neither the demand curve nor the supply curve shift; instead there is a movement along both curves.
The crowding-out effect is likely to be the strongest during periods of
A. recession. B. large budget surpluses. C. high employment. D. expanding money supply.
Total cost refers to
A. the fixed costs of production. B. the sum of average fixed cost and average variable cost. C. the full economic costs of production. D. the explicit costs of production.