All categories

4 years ago

If monopolistic competitors must expect a process of entry and exit like perfectly competitive firms, Group of answer choices

Business

2 answers:

Colt1911 [192]4 years ago

6 0

Answer:

D. they will be unable to earn higher-than-normal profits in the long run.

Explanation: A monopolistic competition is a form of imperfect Competition where many firms that are located within a give market are known to offer similar products to the markets that are not enough to qualify them as a perfect close Substitute (the Purchase of one of the close Substitute does not necessarily prevent the purchase of another). in this type of imperfect Competition the possibility of a barrier to entry or exit is generally low.

melamori03 [73]4 years ago

6 0

Answer:

D. They will be unable to earn higher than normal profits in the long run.

Explanation:

To begin, it is important to understand the concept of monopolistic market. Monopolistic market is premised on the idea that only one firm is providing a particular goods and services in the market. With this, the monopolistic firm simply call shots as prices, demand and supply, profits earned are determined by their actions and inactions.

Thus, from the scenario, we are told there would be free entry and exit into the industry - a reminiscent of those found in the perfectly competitive market.

The implication of the foregoing is that, by allowing the above just as it is obtainable in a perfectly competitive market, we've diluted the monopolistic nature of the firm. The firm therefore will not be the only one to dictate the price and earn an unwholesome profit.

From the option enlisted, option D aptly captures the turn of the market and the attending experience of the firm.

You might be interested in

Travis takes two trips to Ecuador. On his first trip, he finds that one US dollar is worth 25000 Ecuadorian Sucre. On his return

Agata [3.3K]

Answer:

More Americans will travel to Ecuador.

Explanation:

Travis is an American.

On his first trip,

1 US dollar = 25,000 Ecuadorian Sucre

On his second trip,

1 US dollar = 26,000 Ecuadorian Sucre

This indicates that the US dollar appreciated against the Ecuadorian Sucre. Now, the residents of United States will have to pay less for going on a trip to Ecuador. Hence, there is an increase in the number of Americans going for a trip to Ecuador.

6 0

4 years ago

Read 2 more answers

An indifference curve shows the various bundles of goods that:_________ A. all cost the same amount of money. B. make the consum

erica [24]

Answer:

B. make the consumer equally happy.

Explanation:

An indifference curve can be defined as the graphical representation of two products (commodities) that gives a customer equal utility and satisfaction and as such making him or her indifferent about them as they are equally happy.

Hence, an indifference curve shows the various bundles of goods that make the consumer equally happy.

3 0

3 years ago

Adjusted balance method calculates interest using the balance at the _____ of a billing cycle, adjusted by any _____ made during

Elodia [21]

A. end; payments

B. beginning; purchases

C. beginning; payments

D. end; purchases

Answer:

C. beginning; payments

Explanation:

The adjusted balance method is a method that is usually used by banks in which they calculate the interest at the end of the period by taking the initial balance adding all the adjustments made to the account like a payment and then they calculate the interest using the end balance. According to this, the answer is that adjusted balance method calculates interest using the balance at the beginning of a billing cycle, adjusted by any payments made during the period.

8 0

4 years ago

Read 2 more answers

Switzerland exports watches to Russia. Watches are relatively capital intensive in their production process. With trade, the pri

In-s [12.5K]

Answer:

A) we would expect the price of capital to rise by more than 10 percent in Switzerland.

Explanation:

In foreign trade, the magnification principle is part of the Stolper-Samuelson theorem and it states that the price of a factor that is used intensively in the production of a good or service will change in a larger proportion than the price of the good or service produced. In other words, the change in the price of capital will increase by a larger proportion than the goods produced using it. So if the price of watches increases by 10%, then the price of capital will increase by more than 10%

7 0

3 years ago

Compare the major antitrust acts of the United States. Specify the intent and purpose of each, and draw conclusions about their

NeX [460]

The major antitrust acts of the United States include:

Sherman Act of 1890
Clayton Act of 1914:
Federal Trade Commission Act of 1914

Antitrust law refers to the collection of governmental laws that help in the regulation of businesses in order to prevent monopoly and improve competition.

The major antitrust acts include:

Sherman Act of 1890: Every form of contract or conspiracy regarding trade restraint was outlawed.

Clayton Act of 1914: It was passed by Congress in 1914. Unethical business practices were outlawed. Monopolies and price-fixing were banned.

Federal Trade Commission Act of 1914: It was put into law by President Wilson in order to prevent the unfair method of competition and illegal acts that disrupts commerce.

Read related link on:

brainly.com/question/13457426

6 0

3 years ago