« previous next »

Author Question: A contestable market is one in which A) one dominant firm sets the market price, and all other ... (Read 165 times)

asan beg

  • Hero Member
  • *****
  • Posts: 570
on: Jun 29, 2018
A contestable market is one in which
 
  A) one dominant firm sets the market price, and all other firms are price takers.
  B) if a firm cuts its price, all other firms will follow the price cut.
  C) one or a small number of firms operate, but faces competition from potential entrants.
  D) a group of firms enter into an agreement to restrict output and raise prices.

Question 2

Tom spends 20 a month on CDs and magazines. The price of a CD is 6 and the price of a magazine is 4. When Tom maximizes his utility, the marginal utility from CDs is ________ the marginal utility from newspapers.
 
  A) the same as
  B) 1/2
  C) 20 times
  D) 1 1/2 times


Sweetkitty24130

  • Sr. Member
  • ****
  • Posts: 291
Reply #1 on: Jun 29, 2018
Answer to Question 1

C

Answer to Question 2

D


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
« previous next »
 

Did you know?

ACTH levels are normally highest in the early morning (between 6 and 8 A.M.) and lowest in the evening (between 6 and 11 P.M.). Therefore, a doctor who suspects abnormal levels looks for low ACTH in the morning and high ACTH in the evening.

Did you know?

Interferon was scarce and expensive until 1980, when the interferon gene was inserted into bacteria using recombinant DNA technology, allowing for mass cultivation and purification from bacterial cultures.

Did you know?

Glaucoma is a leading cause of blindness. As of yet, there is no cure. Everyone is at risk, and there may be no warning signs. It is six to eight times more common in African Americans than in whites. The best and most effective way to detect glaucoma is to receive a dilated eye examination.

Did you know?

Recent studies have shown that the number of medication errors increases in relation to the number of orders that are verified per pharmacist, per work shift.

Did you know?

Anesthesia awareness is a potentially disturbing adverse effect wherein patients who have been paralyzed with muscle relaxants may awaken. They may be aware of their surroundings but unable to communicate or move. Neurologic monitoring equipment that helps to more closely check the patient's anesthesia stages is now available to avoid the occurrence of anesthesia awareness.

Inheritance of an autosomal dominant disorder Inheritance of an autosomal dominant disorder
Earth’s history is divided into nested sets of time--eons, eras, periods, and epochs--and is called Earth’s history is divided into nested sets of time--eons, eras, periods, and epochs--and is called
Traits With Single-Gene Dominant–Recessive Inheritance Traits With Single-Gene Dominant–Recessive Inheritance
The hazmat training pyramid. It is important to train from the ground up, starting with a firm grasp ... The hazmat training pyramid. It is important to train from the ground up, starting with a firm grasp ...
Suppose the market supply curve is p = 5Q. If price increases from 10 to 15, the change in ... Suppose the market supply curve is p = 5Q. If price increases from 10 to 15, the change in ...
X-linked dominant congenital generalized hypertrichosis (CGH) in a family X-linked dominant congenital generalized hypertrichosis (CGH) in a family
Video: Conjunctivitis

For a complete list of videos, visit our video library