If market incentives to produce are too strong, the market will end up producing:
A) too much of the good.
B) too little ofthe good.
C) a quantity equal to the efficient outcome, as market incentives can never be considered too strong.
D) zero output
Ans: A) too much of the good.
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Advertising for Milk and Beef is usually done by
A) interest groups that represent the whole industry. B) a single firm in the market. C) a small set of firms in a market. D) It is not done because it doesn't pay to advertise homogeneous products.
A demand curve that is perfectly horizontal is
A. perfectly elastic. B. perfectly inelastic. C. relatively elastic. D. relatively inelastic.
Refer to the information provided in Figure 15.5 below to answer the question(s) that follow. 
Figure 15.5 Refer to Figure 15.5. Assume the Custom Sweater Shop has fixed costs of $275 and is a monopolistically competitive firm. To maximize profits in the short run, this firm should produce ________ personalized sweaters.
A. 0 B. 50 C. 75 D. 100
Cartels:
A. can effectively sustain large profits in the long run. B. are usually illegal. C. can act as if they are a single monopoly. D. All of these statements are true.