The demand curve of a monopolistically competitive firm
A) is downward-sloping because it must cut its price to sell more.
B) is horizontal because the firm must cut its price to sell more.
C) is perfectly elastic.
D) is downward-sloping because it sells an identical product.
A
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The longer the time that has elapsed since the price of a good changed, the
A) more elastic the demand for that good. B) steeper the demand curve. C) less elastic the demand for that good. D) smaller the amount of that good bought. E) fewer substitutes available for the good.
Portfolio investment is defined as
A) the purchase of less than 40 percent of the shares of ownership in a company in another country. B) the acquisition of more than 40 percent of the shares of ownership in a company in another country. C) the diversification of purchasing shares in many companies in one country so that risk is kept to a minimum. D) none of the above