Suppose that competitive price-searcher firms are earning positive profits. In the transition from this initial situation to a long-run equilibrium,
a. the number of firms in the market decreases.
b. each existing firm experiences a decrease in demand for its product.
c. each existing firm experiences a rightward shift of its marginal revenue curve.
d. each existing firm experiences an upward shift in its average total cost curve.
B
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If California were a separate nation, its economy would rank where among nations of the world?
A. Second B. Third C. Fifth D. Sixth
The Justice Department generally challenges any merger that meets the following two conditions: (1) the post-merger HHI exceeds 1,800 and (2) the merger increases the index by more than 100 points
a. True b. False
John Maynard Keynes and Friedrich Hayek
a. had similar views with regard to the cause of the Great Depression and what might be done to prevent it from happening again. b. both believed that perverse monetary policy was the primary cause of the ups and downs of the business cycle. c. both believed that budget deficits and surpluses could be used to smooth the ups and downs of the business cycle. d. had polar opposite views with regard to the underlying causes of economic booms and bust, but nonetheless their scholarly work commanded widespread respect among economists.
Refer to the graph below. The slope of the tangent line at various points on the curve as the value of X increases (i.e., as we move to the right along the curve) is: (confusing)
A. Increasing in algebraic value
B. Decreasing in algebraic value
C. Becoming more positive
D. Becoming less negative