Economies of scale
A) do not arise in oligopolistic industries.
B) can exist but are rare in oligopolistic industries.
C) can exist but fail to create barriers to entry in oligopolistic industries.
D) are commonplace and often a barrier to entry in oligopolistic industries.
Answer: D
You might also like to view...
In order to practice price discrimination successfully, a monopolist must ensure that there is no resale of the product
a. True b. False Indicate whether the statement is true or false
If the cross price elasticity of demand for fries with respect to hamburgers equals -1.2, then: a. a 1% increase in the quantity of hamburgers purchased will lead to a 1.2% increase in the price of fries
b. a 10% increase in the price of a hamburger will lead to a 12% increase in the quantity of fries demanded at a given price. c. a 1% decrease in the price of a hamburger will lead to a 1.2% increase in the quantity of fries demanded at a given price. d. a 10% increase in the quantity of hamburgers purchased will lead to a 12% increase in the price of fries.
Monetary policy refers to:
A. policy directed toward increasing exports and reducing imports. B. government policies aimed at changing the underlying structure or institutions of the economy. C. the determination of the nation's money supply. D. decisions to determine the government's budget.
A competitive industry consists of 100 firms. The short-run marginal cost curve for each firm is given by MC = 200 + .3Q. The demand curve faced by the industry is given as P = 400 - .1Q. What is the price charged by each firm and what quantities will each firm produce?
What will be an ideal response?