A monopolistically competitive firm has the free entry characteristics of ________ and the price setting characteristics of ________
A) an oligopolistic market; perfect competition
B) perfect competition; a monopoly
C) a monopolistic market; a cartel
D) perfect competition; perfect competition
B
You might also like to view...
Even though Mary's income is very low, she makes sure that she purchases enough milk for her family to drink. As her income rises, she does buy more milk. Which graph in the above figure best represents Mary's Engel curve for milk?
A) Graph A B) Graph B C) Graph C D) Graph D
A plastics factory emits water pollutants into a nearby river. The marginal private cost of producing plastics and the marginal external cost of the pollutants are both constant with respect to the quantity of plastics produced
If the demand for plastics is downward sloping, what happens to the socially optimal level of output and market price if the demand curve for plastics shifts rightward? A) Optimal price and quantity increase B) Optimal price increases, optimal quantity remains unchanged C) Optimal price remains unchanged, optimal quantity increases D) Optimal price and quantity remain unchanged
Some of the crowding out of private expenditures may come in the form of
A) an increase in consumption. B) an increase in net exports. C) a decrease in taxes. D) a decrease in net exports.
The foreign exchange system that has the highest foreign exchange risk is
A. the Bretton Woods system. B. the Gold Standard C. the fixed exchange rate. D. the floating exchange rate.