If firms in a competitive market are identical, the long-run market supply curve is horizontal
Indicate whether the statement is true or false
False. The horizontal long-run supply curve also requires that factor prices do not increase with industry expansion and that the number of firms is not restricted.
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Pencils are produced in the market economy
A) only because people need pencils. B) only because pencil production is centrally planned, from the growing of the trees and mining of the graphite to the final stages of pencil assembly. C) even though the final assemblers of pencils have no idea how to produce the paint, graphite, wood, rubber, and metal ferrules. D) by government decree.
When you see an advertisement on TV for a hair care product in which the actor using the product is depicted as beautiful and happy, this is
A) informational advertising. B) direct market advertising. C) indirect market advertising. D) persuasive advertising.
If A and B are two disjoint sets, and "Pr" represents the probability, then Pr[A and B] will be:
a. negative. b. infinity. c. unity. d. zero.
Explain the following: Risk results from the fact that more outcomes could happen than will happen.
What will be an ideal response?