In a perfectly competitive market, the price in the long run:
A) will always be more than the minimum average total cost of the industry.
B) will always be less than the minimum average total cost of the industry.
C) will always equal the minimum average total cost of the industry.
D) will always equal the average fixed cost of the industry.
C
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Why might it be a bad idea to engage in first-degree price discrimination?
A. Price discrimination is illegal and can lead to lawsuits and lost customers. B. The information needed does not exist and scarce resources should not be used searching for it. C. Price discrimination in any form is not viable for most companies as a way to increase profits. D. The information needed can be costly and can lead to decreased profits for the company.
Real interest rates at times have been negative. Why would anyone lending money agree to a negative real interest rate?
What will be an ideal response?
A restriction on the number of people allowed to be medical doctors in the United States would most likely
A) increase doctors' fees. B) decrease the demand for doctors. C) decrease the demand for nurses. D) decrease the number of people who get sick.
In pure competition, the industry demand curve is infinitely price elastic.
Answer the following statement true (T) or false (F)