The absence of barriers to entry in monopolistic competition means that in the long run, firms
A) earn an economic profit.
B) earn zero economic profit.
C) incur an economic loss.
D) earn either an economic profit or zero economic profit.
E) earn either zero economic profit or suffer an economic profit.
B
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The endowment effect is the tendency:
A. to place a higher value on something a person already owns simply because they own it. B. to have a harder time parting with wealth people have held the longer the amount of time they hold it. C. for a person to believe they hold a particular skill because someone told them they do. D. for people to want to bestow their own beliefs on others when making decisions.
Inflation is
A. generally steady from year to year. B. generally beneficial to countries. C. one of the key measures in the GDP. D. one of the key measures of the health of an economy.
In economics, what term is used to describe a concentration of efforts toward producing one type of goods?
a. repetition b. specialization c. competition d. consumption
Mark's marginal utility of a third waffle is 10 units and marginal utility of a second slice of ham is 30 units. If Mark eats the third waffle, which of the following statements is true?
a. The price of a waffle is five times more than the price of a slice of ham. b. The price of a waffle is three times more than the price of a slice of ham. c. The price of a waffle is less than one-third the price of a slice of ham. d. The price of a waffle is four times more than the price of a slice of ham. e. The price of a waffle is less than one-fourth the price of a slice of ham.