Entry of new firms into a market results in less product differentiation
Indicate whether the statement is true or false
T
You might also like to view...
When comparing perfect competition and monopoly, a major assumption made is that
A) the monopolist faces a downward sloping demand curve. B) consumers only care about the price of the good and not whether the seller is a monopoly or not. C) the costs of production are the same under monopoly as under perfect competition. D) the monopolist can make an above normal rate of return.
Firms share technology with rivals,
a. in order to better compete with their rivals. b. in order to help out when their rivals are in trouble. c. to share the substantial risks of innovation. d. because they are required to by law. e. in order to pass false information to their rivals in order to drive them out of business.
In cases of natural monopolies, society would be better off with many firms competing with each other
a. True b. False Indicate whether the statement is true or false
People hold less money and lend more and the interest rate falls when the price level
a) increases by more than 30 percent. b) remains constant. c) increases by less than 30 percent. d) decreases.