Which is the most accurate statement?

A. In the long run the perfect competitor makes an economic profit.
B. Most perfect competitors are large firms.
C. In the long run the perfect competitor's price is equal to average total cost.
D. The long and the short run for the perfect competitor are identical.


C. In the long run the perfect competitor's price is equal to average total cost.

Economics

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Unanticipated inflation will insure that

A) homeowners with outstanding mortgage balances are hurt. B) homeowners with outstanding mortgage balances are benefited. C) creditors gain, debtors lose. D) none of the above

Economics

The demand for markers is _______________________ than is the demand for Sharpies because ____________________.

A. less price elastic; markers require a smaller portion of one's income B. more price elastic; markers require a smaller portion of one's income C. less price elastic; the scope of the market for markers is more broadly defined D. more price elastic; the scope of the market is for markers is more broadly defined

Economics

Figure 3.3 illustrates the supply and demand for t-shirts. If the actual price of t-shirts is $7, there is an:

A. excess demand of 8 t-shirts. B. excess supply of 8 t-shirts. C. excess demand of 10 t-shirts. D. excess supply of 10 t-shirts.

Economics

The supply of loanable funds is an upward-sloping curve because the:

A. Higher the interest rate, the more households consume, and the more households save B. Higher the interest rate, the less households consume, and the more households save C. Lower the interest rate, the more households consume, and the more households save D. Lower the interest rate, the less households consume, and the more households save

Economics