If we allow free trade in a small nation's industry where there is a domestic monopolist, the monopoly firm:
a. gains even more power.
b. sees its profits rise.
c. becomes a price taker, is not able to charge a higher price, and behaves like a competitive firm.
d. is able to charge a higher price.
Answer: c. becomes a price taker, is not able to charge a higher price, and behaves like a competitive firm.
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The creation of a monopoly results in gains to
A) producers at no expense to consumers. B) consumers at no expense to producers. C) producers at the expense of consumers. D) consumers at the expense of producers.
In 2009, high-income economies with only about one eighth of the world's population produced almost three-fourths of the worlds output
a. True b. False
Which of the following is least responsible for the reduction in mortality rates in Europe and North America?
a. Reduced exposure to diseases b. Clean water and waste disposal c. Better nutrition and housing d. Improved sanitary conditions e. More effective medical interventions
It is impossible for both nations to gain when trading with one other.
Answer the following statement true (T) or false (F)