This topic contains a solution. Click here to go to the answer
« previous next »

Author Question: If the market demand in a monopolistically competitive industry increases, a likely result in the ... (Read 93 times)

Charlie

  • Hero Member
  • *****
  • Posts: 640
on: Jun 29, 2018
If the market demand in a monopolistically competitive industry increases, a likely result in the long run will be
 
  A) less elastic demand curves facing each firm.
  B) a higher ratio of price to average cost.
  C) a larger number of firms producing a similar product.
  D) a transition from monopolistic competition to oligopoly.

Question 2

On December 10 the price of a Christmas tree is 50 and 100 trees are purchased. On December 20 the demand for Christmas trees decreases so that the price falls to 30 and 20 trees are purchased. From this set of facts, the
 
  A) demand for Christmas trees is price inelastic.
  B) demand for Christmas trees is price elastic.
  C) supply of Christmas trees is inelastic.
  D) supply of Christmas trees is elastic.


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
Marked as best answer by a Subject Expert

Andromeda18

  • Sr. Member
  • ****
  • Posts: 336
Reply #1 on: Jun 29, 2018
Answer to Question 1

C

Answer to Question 2

D


Charlie

  • Member
  • Posts: 640
Reply 2 on: Jun 29, 2018
Great answer, keep it coming :)

bigcheese9

  • Member
  • Posts: 333
Reply 3 on: Yesterday
Excellent

« previous next »
 

Did you know?

The immune system needs 9.5 hours of sleep in total darkness to recharge completely.

Did you know?

According to the Migraine Research Foundation, migraines are the third most prevalent illness in the world. Women are most affected (18%), followed by children of both sexes (10%), and men (6%).

Did you know?

Dogs have been used in studies to detect various cancers in human subjects. They have been trained to sniff breath samples from humans that were collected by having them breathe into special tubes. These people included 55 lung cancer patients, 31 breast cancer patients, and 83 cancer-free patients. The dogs detected 54 of the 55 lung cancer patients as having cancer, detected 28 of the 31 breast cancer patients, and gave only three false-positive results (detecting cancer in people who didn't have it).

Did you know?

In 1844, Charles Goodyear obtained the first patent for a rubber condom.

Did you know?

During the twentieth century, a variant of the metric system was used in Russia and France in which the base unit of mass was the tonne. Instead of kilograms, this system used millitonnes (mt).

This graphic illustrates the original systems model of politics advanced by David Easton. Politics This graphic illustrates the original systems model of politics advanced by David Easton. Politics
Weak valve springs will produce a normal reading at idle, but as engine speed increases, the needle ... Weak valve springs will produce a normal reading at idle, but as engine speed increases, the needle ...
Competitive enzyme immunoassay. (a) Shows the uninhibited reaction and (b) shows the inhibited ... Competitive enzyme immunoassay. (a) Shows the uninhibited reaction and (b) shows the inhibited ...
OraQuick. A negative result would show a red line at the "C" mark, whereas a positive ... OraQuick. A negative result would show a red line at the "C" mark, whereas a positive ...
Main Hall, Trajan's Market Main Hall, Trajan's Market
Find the factor demand for labour and the amount of output it will produce. Show all ... Find the factor demand for labour and the amount of output it will produce. Show all ...
Video: Hemodynamics Animation

For a complete list of videos, visit our video library