In order for a cap-and-trade system to work, it must be that pollution permits are bought by producing firms -- and not given to them as part of an attempt to prevent them to lobby against the cap-and-trade system
Answer the following statement true (T) or false (F)
False
Rationale: The opportunity cost of using a permit to emit pollution is the same regardless of whether the firm was given the permit or had to buy it.
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Because of the number of firms in monopolistic competition,
A) each firm has a large market share. B) it is possible for the firms to collude. C) no one firm can dominate the market. D) one firm has the ability to dictate market conditions. E) each firm must carefully monitor what its competitors do.
If demand is unit elastic, revenue
A. and price rise and fall together. B. rises as price falls. C. falls as price rises. D. remains constant as price rises or falls.
The "Discount Department Stores" industry is highly concentrated. What does this mean?
A) There are many large stores such as Walmart, Target, Kohl's, in this industry. B) A few large stores account for a significant portion of industry sales. C) There is cut-throat competition in this industry because there are no entry barriers. D) The sales volume in this industry is consistently high.
Refer to the information provided in Figure 2.5 below to answer the question(s) that follow.
Figure 2.5Refer to Figure 2.5. The economy is currently at Point A. The opportunity cost of moving from Point A to Point B is the
A. 30 LCD televisions that must be forgone to produce 60 additional OLED televisions. B. 90 LCD televisions that must be forgone to produce 20 additional OLED televisions. C. 30 LCD televisions that must be forgone to produce 20 additional OLED televisions. D. 120 LCD televisions that must be forgone to produce 40 additional OLED televisions.