92. Freedom is a pereanial democratic concept in political scicnce. Howevcr, in monopolistically competitrve markets, what...

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92. Freedom is a pereanial democratic concept in political scicnce. Howevcr, in monopolistically competitrve markets, what docs the propcty of froe cntry and cxit suggest? a The marked structure will cventually be characterized by perfect competition in the long b. All firms cam zcro conomic profits in the long run. Some firms will be able to carn coonomic profits in the long run. Some firms will be forced tlo incur cconomic losses in the long run. P. 93. Homer Sumpson asks of Bart, to maximize its profit, a monopolistically compctitive firm chooscs its level of output by looking for which of the following? athe intersection of the demand curve and the marginal-cost curve b. the intersection of the marginal-revenue curve and the marginal-cost curve c. the level of output at which marginal revenue cquals zero d the level of output at which average total cost is minimized 94. Joc Biden is choosing a new Secretary of Commerce and as a skill testing question asks where in the long run, a profit-maximizing firm in a monopolistically competitive market operates? a. a level of output at which marginal cost is rising b alevel of output at which marginal cost is falling c alevel of otput at which avange total cost is falling d a level ofoutput at which average total cost is rising 95. Amold Schwarzenegger is concerned about climate change and spillover efffects and wants lo know when incumbent firmns lose customens and profits due to entry of a new competitor, what type of extemality occurs? 2. A prodatory pricing extemality occurs. b A consumption cxtcrmality occurs, c. A business-sicaling extemality occurs, d A product-vanicty calcrnality occurs. 96. Xi Jiping has a bad dream in which Chairman Mao tells him he does not understand theory of the firm or Donald Trump. Mao tells him that upon waking he must coTectly answer what type of extemalitics accompany the cntry of new firms into a monopolistically competitive market? the product-varicty exiemality as a posilive exlemality and the business-stealing atermality as a negative extermality the product-varicty extermality as a negative exlernality and the business-stealing extermality as a positive extermality the business-varicty cxlermality as a positive extermality and the product-stealing exlenality as a ncgative externality P. the business-varicty externality as a negative cxtemality and the product-stealing exicrnality as a positive extermality 97. Vladmir Putin is planning economic reforms in the vodka market which is monopolistically competitive. What do wekrow about regulation of a finm ini monopolistically competitive arket a. It usually mplies a very small administtrative burden. b. Itwill low er the firm's costs. c. It is commonly used to enhance market cfliciency. d It is unlikely to umprove market efficiency. 92. Freedom is a pereanial democratic concept in political scicnce. Howevcr, in monopolistically competitrve markets, what docs the propcty of froe cntry and cxit suggest? a The marked structure will cventually be characterized by perfect competition in the long b. All firms cam zcro conomic profits in the long run. Some firms will be able to carn coonomic profits in the long run. Some firms will be forced tlo incur cconomic losses in the long run. P. 93. Homer Sumpson asks of Bart, to maximize its profit, a monopolistically compctitive firm chooscs its level of output by looking for which of the following? athe intersection of the demand curve and the marginal-cost curve b. the intersection of the marginal-revenue curve and the marginal-cost curve c. the level of output at which marginal revenue cquals zero d the level of output at which average total cost is minimized 94. Joc Biden is choosing a new Secretary of Commerce and as a skill testing question asks where in the long run, a profit-maximizing firm in a monopolistically competitive market operates? a. a level of output at which marginal cost is rising b alevel of output at which marginal cost is falling c alevel of otput at which avange total cost is falling d a level ofoutput at which average total cost is rising 95. Amold Schwarzenegger is concerned about climate change and spillover efffects and wants lo know when incumbent firmns lose customens and profits due to entry of a new competitor, what type of extemality occurs? 2. A prodatory pricing extemality occurs. b A consumption cxtcrmality occurs, c. A business-sicaling extemality occurs, d A product-vanicty calcrnality occurs. 96. Xi Jiping has a bad dream in which Chairman Mao tells him he does not understand theory of the firm or Donald Trump. Mao tells him that upon waking he must coTectly answer what type of extemalitics accompany the cntry of new firms into a monopolistically competitive market? the product-varicty exiemality as a posilive exlemality and the business-stealing atermality as a negative extermality the product-varicty extermality as a negative exlernality and the business-stealing extermality as a positive extermality the business-varicty cxlermality as a positive extermality and the product-stealing exlenality as a ncgative externality P. the business-varicty externality as a negative cxtemality and the product-stealing exicrnality as a positive extermality 97. Vladmir Putin is planning economic reforms in the vodka market which is monopolistically competitive. What do wekrow about regulation of a finm ini monopolistically competitive arket a. It usually mplies a very small administtrative burden. b. Itwill low er the firm's costs. c. It is commonly used to enhance market cfliciency. d It is unlikely to umprove market efficiency.

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Ans 92 The correct ans is b Because in this entry exit of the firm will wipe out a profit in the lon... View the full answer