Suppose that in a perfectly competitive market, firms are making an economic profit. In the long run, we know for sure that
a. some firms will leave the market
b. the market price will rise
c. the market supply curve will shift to the left
d. economic profit will become zero
e. production will be less than short-run production
D
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Which of the following would NOT provide an incentive to reduce the amount of beef consumed?
A) an increase in the price of beef B) a subsidy to buyers of beef C) a decrease in the price of chicken D) a ban on beef sales by the Food and Drug Administration
The so-called pork-barrel politics refers to congressional members:
A. Trading votes with one another B. Receiving perks and freebies from businesses trying to sway their votes C. Paying close attention to the vocal special interest groups D. Inserting provisions for local narrow projects into comprehensive legislation