Which of the following statements is true?
A) Monopoly is characterized by no entry barriers.
B) Perfect competition is characterized by high entry barriers.
C) Firms in a market with entry barriers are likely to have more market power than firms in a market with no entry barriers.
D) Firms in a market with no entry barriers are likely to have more market power than firms in a market with entry barriers.
C
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The demand for loanable funds curve shows that as the ________ interest rate increases, there will be ________ the curve
A) nominal; a rightward shift in B) real; a rightward shift in C) nominal; movement down along D) real; movement up along.
For each watch Switzerland produces, it gives up the opportunity to produce 50 pounds of cheese. Germany can produce one watch at a cost of 100 pounds of cheese. Which of the following is true?
a. The opportunity cost of producing watches is greater in Switzerland. b. The opportunity cost of producing cheese is greater in Switzerland. c. The opportunity cost of producing cheese is the same in both countries. d. It is impossible to compare costs because the two countries use different technologies. e. In the two countries combined, the cost of producing one watch is 150 pounds of cheese.