In perfect competition as well as in monopolistic competition,
a. marginal revenue is equal to price for each firm.
b. profit is positive in a long-run equilibrium for each firm.
c. entry and exit by firms are restricted.
d. there are many firms in a single market.
d
You might also like to view...
Which of the following groups of people will NOT be considered as employed?
A) Government representatives earning a fixed salary every month B) Housewives raising kids at home C) Paid workers in the agricultural sector of a country D) Teachers in public schools
The above figure shows a graph of the market for pizzas in a large town. If the price falls from $10 to $7 per pizza, the quantity of pizzas demanded will
A) increase by 20. B) decrease by 30. C) increase by 30. D) decrease by 10.
An oligopoly is characterized by
a. few firms, which have control over market price b. many firms and some barriers to entry c. a large number of firms and no barriers to entry d. a single firm and no barriers to entry e. a single firm and significant barriers to entry
The reserve requirement is the tool used least frequently by the Fed because it can cause abrupt changes in the money supply.
a. true b. false