The circular flow diagram indicates that
A) households sell the services of factors of production to firms.
B) firms buy the services of factors of production from the government.
C) households sell goods and services to the government.
D) firms buy goods and services from households.
A
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An unregulated monopoly will
A) flood the market with goods to deter entry. B) produce only where marginal revenue is zero. C) produce in the inelastic range of its demand curve. D) produce in the elastic range of its demand curve.
In a monopolistically competitive market, having a large number of firms in the market means that
A) no firm attempts to take into account the reaction of rival firms. B) individual firms will have a large portion of the market giving them monopoly power. C) firms will get together and collude because this will be the only way to earn monopoly profits. D) firms will cooperate with each other to drive competitors out of the market.
There is no difference between government expenditures or outlays and government purchases or spending
a. True b. False Indicate whether the statement is true or false
Do the costs of social regulation outweigh the benefits?
What will be an ideal response?