Barter is a system of exchange that does not depend on a coincidence of wants

A local monopoly is a firm that:

a. is the sole supplier of a good, without substitutes, in a specific geographic area. b. is one of the suppliers of a good in a specific geographic area. c. supplies all the products needed by consumers in a country. d. produces to meet the requirement of only one consumer. e. is one of the suppliers of a good that has a lot of substitutes, in a specific geographic area.

Which of the following provides the best explanation for diseconomies of scale?

a. the firm is too small to take advantage of specialization. b. large management structures may be bureaucratic and inefficient. c. if there are too many employees, the work place becomes crowded and people become less productive. d. average fixed costs are rising.