In perfect competition, if there are no barriers to entry, only the lowest-cost businesses will survive in the long run.
Answer the following statement true (T) or false (F)
True
Because of competition, only the lowest-cost producers can survive in a perfectly competitive market.
You might also like to view...
Refer to the figure above. What is the total surplus after Barylia opens up to free trade?
A) $455 B) $800 C) $1,000 D) $1,200
Currency outside of banks increases from $100 million to $200 million. This change is considered
A) a currency drain. B) a decrease in the monetary base. C) expansionary monetary policy. D) contractionary monetary policy.
In which of the following years did oil price movements contribute to holding down inflation?
A) 1986 B) 1998 C) 2001 D) All of the above.
Why does the segmented markets theory suggest think that bonds of different maturities are not perfect substitutes for each other?
What will be an ideal response?