When new firms choose to enter monopolistically competitive markets:
a. there must be little diversity of products in the market
b. they are guaranteed economic profits upon entry.
c. some firms in the market must be making economic profits.
d. the demand curve faced by an established firm will shift to the right as a result.
c
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Which of the below is true? a. A price ceiling reduces the quantity exchanged on the market, but a price floor increases the quantity exchanged on the market. b. A price ceiling increases the quantity exchanged on the market, but a price floor decreases the quantity exchanged on the market. c. Both price floors and price ceilings reduce the quantity exchanged in the market
d. Both price floors and price ceilings increase the quantity exchanged in the market.
Financial disintermediation occurs when:
a. Individuals withdraw funds from financial intermediaries and invest them elsewhere. b. Businesses no longer issue stock. c. Individuals no longer trade securities in the secondary market. d. None of the above. e. Businesses no longer borrow directly in the bond market.