In perfect competition, technological advances will allow economic profits for
a. all firms.
b. only the firm developing the new technology.
c. early adopters.
d. none of the firms, as the advance will be immediately adopted by all of them.
C
Economics
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The table above gives four production possibilities for airplanes and cruise ships. In possibility A, how many resources are devoted to the production of airplanes?
A) 0 B) few C) most D) all E) It is impossible to tell without more information about the prices of airplanes and cruise ships.
Economics
If the price in the market for a commodity is below the equilibrium price, the:
A) price will remain unchanged. B) price will decline to clear the market. C) quantity supplied exceeds the quantity demanded. D) quantity demanded exceeds the quantity supplied.
Economics