Author Question: Under monopolistic competition: a. there are significant barriers to entry. b. there are few ... (Read 70 times)

natalie2426 · **on:** Jun 30, 2018

Under monopolistic competition:
a. there are significant barriers to entry.
b. there are few barriers to entry.
c. firms sell identical products.
d. firms face perfectly elastic demand curves.

Question 2

One of the advantages of floating exchange rates is that:
a. consumers always know how much imported goods cost.
b. businesses always know, in advance, what future exchange rates will be.
c. countries are free to pursue their own macroeconomic policies without maintaining exchange rates.
d. countries cannot act independently and must thus coordinate their macroeconomic policies.
e. the global interest rate tends to decline to the lowest possible level.