Which of the following is always associated with monopolistic competition?
a. identical goods
b. economic profit in the short run
c. the firm's MR curve lies above its demand curve
d. the firms' demand curves become more inelastic as new entry occurs
e. product differentiation
E
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Firms disclose financial statements in ________ and in ________
A) weekly filings with the SEC; monthly reports to the Fed B) monthly reports to shareholders; 5-year balance statements to the board of directors C) periodic filings to the federal government; annual reports to shareholders D) daily filings to the federal government; daily reports to shareholders
In the long-run equilibrium, both the perfectly competitive firm and the monopolistically competitive firm produce the output at which MR=MC and charge a price equal to the average total cost of production
Indicate whether the statement is true or false
Suppose the real money demand function is Md/P = 2400 + 0.2Y - 10,000 (r + ?e). Assume M = 4000, P = 2.0, ?e = .03, and Y = 5000. The real interest rate that clears the asset market is
A) 3%. B) 6%. C) 11%. D) 14%.
A government-imposed restriction on the quantity of a good that can be imported is
A) an embargo. B) a protective tariff. C) a quota. D) a health restriction.