When the government imposes a barrier to entry in a market,
a. more resources will be wasted by firms attempting to secure and maintain market power.
b. the options available to consumers will increase in the protected market.
c. allocative efficiency will be improved by the reduction of wasteful competition.
d. consumers will be better able to direct the smaller number of producers to serve their interests.
A
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Today, financial intermediaries specialize in all of the following activities except
(a) Printing money (b) Lending (c) Borrowing (d) Accepting deposits
If ZipCo's marginal revenue product curves slope downward, what can we conclude about the structure of the market in which ZipCo sells its product?
a. The firm is a price searcher because price is greater than marginal revenue. b. The firm is a price taker because price is equal to marginal revenue. c. The firm is a price searcher because the price of each resource is constant. d. The firm is a price taker because the price of each resource is constant. e. Nothing.