Which will be TRUE for a monopolistic competitor experiencing short-run losses?

Efficiency is an important social goal because:

A. movements toward economic efficiency make the total economic pie larger. B. it assures a normative outcome. C. it assures a fair outcome. D. it takes into consideration the distribution of income.

According to the textbook, which of the following methods for coordinating the supplies and demands for scarce goods tends to work best to enhance the freedom and power of people who want the goods?

A) A lottery B) Equal shares for all C) First come, first served D) Highest money bid E) Might makes right

All of the following are examples of borrowings by a bank EXCEPT

A) federal funds. B) repurchase agreements. C) discount loans. D) commercial loans.

In the long-run, firms in a monopolistically competitive industry will

a. earn substantial economic profits b. tend to just cover costs, including normal profits c. seek to increase the scale of operations d. seek to reduce the scale of operations