Under perfect competition and monopolistic competition, profits are zero in long-run equilibrium.
Answer the following statement true (T) or false (F)
True
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A camera manufacturer will sell its cameras only to retailers who agree to buy its brand of film. This is an example of
a. price discrimination b. exclusive dealing c. a tying contract d. interlocking directorates e. a trust
In a small town of 100 people, there are 10 children under 16, 10 retired people, 60 people with full-time jobs, 3 people with part-time jobs, 3 full-time students over 16, and 4 full-time homemakers. The remaining people did not have jobs, but wanted them. What is the participation rate in this town?
A. 87.5 percent B. 72.0 percent C. 81.1 percent D. 63.0 percent
Suppose that the income elasticity of demand for new clothes is positive. Other things being equal, which of the following statements is correct?
A. New clothes are a normal good. B. The quantity demanded of new clothes decreases as a consumer's income declines. C. There exists a positive relationship between income and the demand for new clothes. D. All of these
(a) Find the total profit or total loss of the firm shown in the graph. (b) Is the firm in short run or long run? (c) How much is the firm's most efficient output? (d) What is the lowest price the firm would accept in the long run?
