Refer to the diagrams. Firm A is a:
A. pure competitor and Firm B is a pure monopoly.
B. pure competitor, as is Firm B.
C. pure monopoly and Firm B is a pure competitor.
D. pure monopoly, as is Firm B.
A. pure competitor and Firm B is a pure monopoly.
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The "cost disease of personal services" phenomenon helps explain why medical care has become so expensive
a. True b. False Indicate whether the statement is true or false
Refer to the data. If the market price for the firm's product is $28, the competitive firm will:
A. produce 4 units at a loss of $17.40.
B. produce 7 units at a loss of $14.00.
C. shut down in the short run.
D. produce 6 units at a loss of $23.80.
Some economists prefer to use the term business fluctuations rather than business cycles to describe the historical growth record in the United States because:
A. Cycles include a trough phase while fluctuations do not B. Cycles imply regularity while fluctuations do not C. Fluctuations include an expansion phase while cycles do not D. Fluctuations are relatively predictable events
In monopolistic competition in the long run, firms
A) make zero economic profit and require more capacity. B) incur an economic loss and require more capacity. C) make an economic profit and have excess capacity. D) make zero economic profit and have excess capacity. E) make an economic profit and require more capacity.