If firms in a monopolistically competitive industry are making an economic profit, then
A) some customers will exit the market.
B) some workers will leave the industry's labor force.
C) some firms will leave the industry.
D) new firms will enter the industry.
D
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If the labor force participation rate is rising and the working-age population is not changing, then the
A) size of the labor force is rising. B) number of unemployed people is rising and the size of the labor force is falling. C) size of the labor force is falling. D) number of unemployed people is falling and the size of the labor force is rising.
In the above figure, a rent ceiling of $500 per month would
A) not affect the equilibrium quantity. B) create a shortage. C) raise the rent and cause a surplus. D) reduce the rent and create a surplus.
Greater entrepreneurship in the economy will shift the aggregate:
a. supply curve rightward. b. supply curve leftward. c. demand curve rightward. d. demand curve leftward.
Suppose a publisher faces the following costs of producing 10,000 newspapers each month: $5,500 cost of labor; $2,200 monthly mortgage payment; $250 cost of electricity to run the printing presses; $800 for ink and paper; and $200 in city property taxes (based on the value of the building and land). Its total variable costs are
a. $8,950 b. $8,750 c. $6,550 d. $6,300 e. $5,500