If retail managers are ordering extra merchandise from their wholesale distributors, then it is probably true that
A. total output is greater than total spending.
B. price levels are decreasing.
C. inventory levels are increasing.
D. inventory levels are decreasing.
Answer: D
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Which of the following is a characteristic of a firm in a perfectly competitive market?
A) The firm must lower its price in order to increase quantity demanded. B) The firm cannot make a profit in the short run because it is too small a part of the total market. C) The firm can make a profit in the long run but not in the short run. D) The firm can sell as much as it wants without having to lower its price.
Unlike firms in a perfectly competitive industry, monopolists have control over
a. the price they charge for the product b. the quantity of output they produce c. the prices they pay for resources d. the quantities of various resources which are used e. improvements in technology