Which of the following statements is true?
A) Under monopoly, the seller sets the price of its good below marginal costs.
B) Under perfect competition, sellers set the price of their goods below marginal costs.
C) Under monopoly, prospective buyers may not be able to buy a good even if they have a willingness to pay above marginal costs.
D) Under perfect competition, prospective buyers may not be able to buy a good even if they have a willingness to pay above marginal costs.
C
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Any event that changes any of the determinants of YN will shift the LRAS.
a. true b. false
A technological innovation that increases the marginal physical product of capital would eventually result in a(n)
a. increase in the interest rate b. decrease in the interest rate c. shift to the right of the supply curve of loanable funds d. increase in the quantity demanded of loanable funds and a decrease in the quantity supplied of loanable funds, which leaves the interest rate unchanged e. shift to the left of the supply curve of loanable funds