Answer the following statements true (T) or false (F)
1. Monopolistic ally competitive firms exist due to high barriers to entry.
2. Monopolistic ally competitive firms have some control over the price of their products.
3. Brand names and packaging are forms of product differentiation under monopolistic competition.
4. The demand curve faced by a monopolistic ally competitive firm is more elastic than the monopolist's demand curve.
5. The larger the number of firms in an industry and the less the extent of product differentiation, the greater will be the elasticity of the individual seller's demand curve.
1. FALSE
2. TRUE
3. TRUE
4. TRUE
5. TRUE
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If real GDP is higher in one country than in another, then we can be sure that the standard of living is higher in the country with the higher real GDP
a. True b. False Indicate whether the statement is true or false
OPEC (Organization of Petroleum Exporting Countries) is an example of a cartel in the output market for petroleum. Major League Baseball could be considered a cartel in the __________ market for baseball players
Fill in the blank(s) with correct word
Your parents have given you a new car on your 16th birthday for which they paid about $24,000. Assume this is also the price you would get if you decided to sell the car a month after getting it. The monthly costs of driving the car are $100 for oil changes and $200 for gas. If you decide to keep the car, the total costs of the car to you this month will be
A. $2,300. B. $24,300. C. $300. D. $0.
When the demand for a product decreases but the supply of the product remains unchanged,
A. the price of the product will rise and quantity will decrease. B. the price of the product will be unaffected. C. the price of the product will fall and quantity will remain the same. D. the price of the product will fall and the quantity will fall.