Which of the following statements is true of the short run?
A) Identical firms can enjoy positive economic profits.
B) Identical firms face a downward-sloping supply curve.
C) Non-identical firms face a downward-sloping supply curve.
D) Non-identical firms cannot enjoy positive economic profits.
A
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According to Douglass North, the Industrial Revolution occurred in England because
A) the British Parliament instituted a command economy structure and implemented a planned economy. B) the British courts became tied to the king and began to refuse to enforce property rights. C) the British Parliament took control of the government and could credibly commit to upholding property rights. D) the British monarchy took control of the government and pledged not to raise taxes arbitrarily.
In the IO perspective it is important to enter an industry with
a. Low supplier power b. Low threat from substitutes c. Low levels of rivalry between firms d. All of the above