Which of the following is consistent with a monopoly industry?
A.) There are many firms.
B.) Barriers to entry keep potential competitors out of the market.
C.) There is pressure to reduce costs and improve product quality.
D.) Zero economic profit in the long run.
B.) Barriers to entry keep potential competitors out of the market.
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The real interest rate on a loan
a. is the amount that the consumer agrees to pay b. is always the same as the nominal rate c. is always greater than the nominal rate d. is only of concern when serious inflation occurs e. is the percentage increase in the lender's purchasing power that results from making the loan
If 10,000 people are willing to spend a maximum of $20 each to preserve one acre of rainforest, how many acres of rainforest could be preserved, assuming it costs $40 per acre to preserve the rainforest?
a. Zero acres b. 1,000 acres c. 5,000 acres d. 10,000 acres e. There is not enough information to answer the question Feedback
At an equilibrium level of output in a pure monopoly:
A. P > MC and P = minimum ATC. B. P > MC and P > minimum ATC. C. P = MC and P = minimum ATC. D. P = MC and P > minimum ATC.
When a new airline opens service between two major cities, the supply of airline seats ____ and the supply curve of airline seats shifts ____. Question 30 options:
A. increases; leftward B. decreases; leftward C. increases; rightward D. decreases; rightward E. increases; does not change