Profit Maximizing Under Perfect Competition And Monopoly

An oligopoly with a dominant price leader will produce a level of output ?

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An oligopoly with a dominant price leader will produce a level of output ?

A. equal to what a monopolist would choose in the same industry
B. between that which would prevail under competition and that which a monopolist would choose in the same industry
C. that would prevail under competition
D. between that which would prevail under competition and that which a monopolistic competitor would choose in the same industry.

Assume that firms in an oligopoly are currently colluding to set price and output to maximise total industry profit. If the oligopolists are forced to stop colluding, the price charged by the oligopolists will _________ and the total output produced will __________?

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Assume that firms in an oligopoly are currently colluding to set price and output to maximise total industry profit. If the oligopolists are forced to stop colluding, the price charged by the oligopolists will _________ and the total output produced will __________?

A. decrease; decrease
B. increase; decrease
C. decrease; increase
D. increase; increase

When one firm in the breakfast cereal market started an advertising campaign that stressed the nutritional value of its cereals, all other cereal manufacturers started similar advertising campaign This suggests that the breakfast cereal market is ?

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When one firm in the breakfast cereal market started an advertising campaign that stressed the nutritional value of its cereals, all other cereal manufacturers started similar advertising campaign This suggests that the breakfast cereal market is ?

A. monopolistically competitive
B. oligopolistic
C. perfectly competitive
D. indeterminate from this information

The long-run equilibrium outcomes in monopolistic competition and perfect competition are similar because in both market structures ?

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The long-run equilibrium outcomes in monopolistic competition and perfect competition are similar because in both market structures ?

A. the efficient output level will be produced in the long run
B. firms will only earn a normal profit
C. firms realize all economies of scale
D. firms will be producing at minimum average cost

Monopolistic competition differs from perfect competition primarily because ?

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Monopolistic competition differs from perfect competition primarily because ?

A. in monopolistic competition entry into the industry is blocked
B. in monopolistic competition there are relatively few barriers to entry.
C. in monopolistic competition, firms can differentiate their products
D. in perfect competition firms can differentiate their products

An industry that realizes such large economies of scale in producing its product that single-firm production of that good or service is most efficient is called ?

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An industry that realizes such large economies of scale in producing its product that single-firm production of that good or service is most efficient is called ?

A. a fixed cost monopoly
B. a natural monopoly
C. a government franchise monopoly
D. a economies of scale monopoly