Author Question: In a small town the level of demand is capable of supporting only two gas stations. This market is ... (Read 24 times)

tiffannnnyyyyyy · **on:** Jun 29, 2018

In a small town the level of demand is capable of supporting only two gas stations. This market is

A) a natural duopoly.
B) perfectly competitive because a homogeneous good is being sold.
C) operating as if it was a monopoly.
D) an example of monopolistic competition.

Question 2

The table shows the demand and supply schedules for jeans.

A) At 60 a pair, there is a shortage of jeans and the price will fall.
B) At 60 a pair, there is a surplus of jeans and the price will rise.
C) At 40 a pair, there is a shortage of jeans and the price will rise.
D) At 40 a pair, there is a shortage of jeans and the price will fall.