Which of the following characteristics is most important in differentiating between perfect competition and all other types of markets?
A) whether or not the product is standardized
B) whether or not there is complete market information about price
C) whether or not firms are price takers
D) All of the above are equally important.
C
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Refer to Table 21.5:Table 21.5QTFCTVCTCAVCMC0 15--1 23 2 43 15 The total variable cost of 2 units of output in Table 21.5 is
A. $27. B. $15. C. $12. D. $8.
Under the rational criminal model, a decrease in the legal income producing opportunities available to a population will
A. have no effect on crime. B. simply shift crime from white-collar to blue-collar crime. C. increase crime. D. decrease crime.
Which supports the economist's claim that buyers don't compete against sellers?
A) Diners would rather have more restaurants to choose among. B) Music buyers prefer having access to internet music stores compared to only the local music shop in town. C) Car buyers prefer several dealerships in the region compared to only one. D) Homebuyers prefer a larger selection of homes to a smaller one. E) All of the above.
When a firm leaves a perfectly competitive industry,
a. the individual demand curves facing remaining firms shift towards the point of minimum average cost in the long run. b. short-run industry equilibrium is re-established at a new point along the original short-run industry supply curve. c. the short-run industry supply curve shifts to the right. d. at the new long-run equilibrium, the remaining firms in the industry will each receive a higher profit.