Figure 9-7 shows cost curves for Penny’s Parasols, a perfectly competitive firm. At which of the points would Penny’s Parasols be certain to close down?

A monopolistic competitor's demand curve is

a. perfectly elastic b. less elastic than a monopolist's or oligopolist's but more elastic than a perfect competitor's c. as elastic as an oligopolist's d. more elastic than a monopolist's or oligopolist's but less elastic than a perfect competitor's e. perfectly inelastic

Which of the following is a characteristic of economics?

A. the way society deals with people's needs B. the focus on how people behave not in their own self-interest C. allocation of limited resources in an effort to satisfy potentially unlimited wants D. all of these