A perfectly competitive firm is a price

A. giver.
B. taker.
C. maker.
D. leader.


Answer: B

Economics

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In Figure 8-1, point E represents:

a. recession and a peak. b. peak and a trough. c. recovery and a peak. d. recession and a trough.

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Two competing firms in a duopoly must decide whether or not to offer consumers a coupon for their good. The payoff matrix above represents the daily profit available to the firms under the different coupon strategies

a. What strategies and payoffs are represented by quadrant A? b. What strategy will Firm 1 pursue if it believes that Firm 2 is offering a coupon? c. What quadrant represents the equilibrium that will result if the firms act independently (compete)? d. What quadrant represents the equilibrium that will result if the firms successfully collude?

Economics

The term federal funds market refers to the market for overnight interbank reserve loans

a. True b. False Indicate whether the statement is true or false

Economics

Which of the following is the closest example of a perfectly competitive market?

A. gasoline stations B. beer C. soybeans D. fast foods

Economics