What are the distinguishing characteristics of monopolistic competition?
What will be an ideal response?
The distinguishing characteristics of monopolistic competition are: i) a large number of firms, each producing a differentiated product than its competitors, ii) firms compete on quality, price, and marketing, and iii) there are no barriers to entry into the industry.
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Pooling of risk occurs when depository institutions
A) make assets more liquid. B) specialize in loaning only to good borrowers. C) bring lenders together. D) lend to a variety of different borrowers.
The results of a U.S. quota on the importation of Japanese automobiles is likely to _______ for automobiles in the United States and _______ automobiles in Japan.
A) decrease the demand; increase the demand for B) reduce the quantity demanded; increase the quantity demanded of C) increase the quantity demanded; increase the quantity demanded of D) increase the demand; decrease the demand for