In a market undergoing technological change, firms that
A) adopt the new technology temporarily incur an economic loss.
B) adopt the new technology temporarily make an economic profit.
C) do not adopt the new technology temporarily make an economic profit.
D) do not adopt the new technology increase their market share.
E) do not adopt the new technology continue to make a normal profit.
B
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Which of the following statement is true?
a. The demand for Cheerios is less elastic than the demand for cereal b. The demand for gas is more elastic in the short-run than in the long-r c. The demand for puma shoes is more elastic than the demand for shoes d. Products with many complements have a more elastic demand
Game theory is most useful in understanding the decision making behavior of firms in which type of industry?
a. perfect competition b. monopoly c. monopolistic competition d. natural monopoly e. oligopoly
Expansionary and contractionary gaps are automatically eliminated by shifts in aggregate demand
a. True b. False Indicate whether the statement is true or false
The theory of economic rent can be used to explain high incomes received by movie stars and athletes
a. True b. False Indicate whether the statement is true or false