Monopolies can make an economic profit in the long run because there
A) are close substitutes for the product.
B) is free entry and exit.
C) is inelastic demand from consumers.
D) is a barrier to entry.
D
You might also like to view...
If the consumption of a good or service by one person does not decrease the quantity available for another person, the good or service is
A) nonrival. B) nonexcludable. C) pure. D) free.
While increases in population are often seen as a problem by some observers can you think of a way in which an increase in population can be a positive factor?
What will be an ideal response?
A good that would be counted as consumption in GDP would be the:
A. Subway sandwich Tony ate for lunch. B. $10 Tony received after winning a bet with his friend. C. $50 in wages Tony received that day from working all afternoon. D. common stock Tony purchased for his 401(k).
For a particular good, a 10 percent increase in price causes a 3 percent decrease in quantity demanded. Which of the following statements is most likely applicable to this good?
a. The relevant time horizon is short. b. The good is a luxury. c. The market for the good is narrowly defined. d. There are many close substitutes for this good.