A firm is a ______ when it can sell as much as it wants at some given price P, but nothing at any higher price.

A. monopoly

B. oligopoly

C. price taker

D. price setter


C. price taker

Economics

You might also like to view...

Refer to Figure 28-2. Suppose the Fed used contractionary policy to push short-run equilibrium to point C. If the short-run equilibrium remained at point C long enough

A) the short-run Phillips curve would shift up. B) the economy would stay at point C in the long run. C) the economy would move back to point A. D) the short-run Phillips curve would shift down.

Economics

When effects are irreversible, it may be sensible to treat their possible causes even if they cannot be identified with certainty

Indicate whether the statement is true or false

Economics

The LM curve shows that, with a fixed supply of money, as GDP rises, the demand for money will ____ and the rate of interest will ____.

A) rise; rise B) fall; fall C) rise; fall D) fall; rise

Economics

A profit-maximizing monopolist will receive zero profits when

A) the average total cost curve lies above the demand curve for all possible rates of output. B) the average total cost curve is tangent to the demand curve at the profit maximizing price. C) marginal revenue, marginal cost, and average total cost are all equal. D) a second firm enters the industry.

Economics