A monopolistically competitive firm's demand curve slopes downward because:
a. new firms are free to enter the market.
b. there are a large number of firms in the market.
c. a differentiated product gives the firm some monopoly power.
d. the firm has complete information about the market.
e. the firm sells a standardized product.
c
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Which type of unemployment is most likely to help the economy become more efficient?
a. cyclical b. structural c. seasonal d. frictional e. underemployment
Suppose that net exports are -$300 billion and exports are $500 billion. Imports must be equal to
A) $800 billion. B) $400 billion. C) $200 billion. D) -$200 billion. E) There is not enough information to answer this question.
If a monopolist is maximizing its profits, we know that it has:
A. maximized total revenue. B. maximized marginal revenue. C. minimized total cost. D. equated marginal cost and marginal revenue.
If the inflation rate turns out to be less than was is expected to be, the clear winners are
A. lenders. B. borrowers. C. businesses. D. people on fixed incomes.