A firm will shut down in the short run if ?

Related Mcqs:

The formula for average fixed costs is ?

A. Dq/DTFC B. TFC – q C. TFC/q D. q/TFC...

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...

Market power is ?

A. a firm’s ability to monopolies a market completely. B. a firm’s ability to raise price without losing all demand for its product C. a firm’s ability to sell any amount of output it desires at the market-determined price. D. a firm’s ability to charge any price it likes...

The cosmetics industry is not considered by economists to be a good example of perfect competition because ?

A. there are many EU and government health controls on cosmetic products B. there are a very large number of firms in the industry C. firms spend a large amount of money on advertising D. profit margins are very high for both producers and retailers...

In which of the following circumstances would a cartel be most likely to work ?

A. The market for copper, where there are very few producers and the product is standardized. B. The fast-food market where there are a large number of producers but the demand for fast food is inelastic C. The coffee market where the product is standardized and there are a large number of coffee growers. D. … In which of the following circumstances would a cartel be most likely to work ?Read More...