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 ?

Related Mcqs:

The rate at which a firm can substitute capital for labour and hold output constant is the ?

A. marginal rate of factor substitution B. marginal rate of substitution C. law of diminishing marginal returns. D. marginal rate of production...

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...

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...

A normal rate of profit ?

A. Is the rate of return on investments over the interest rate on risk-free government bonds. B. is the rate that is just sufficient to keep owners or investors satisfied. C. is the difference between total revenue and total costs D. is zero in a perfectly competitive industry....

The kinked demand curve model of oligopoly assumes the elasticity of demand ?

A. in response to a price increase is less elastic than the elasticity of demand in response to a price decrease B. is perfectly elastic if price increases and perfectly inelastic if price decreases C. is constant regardless of whether price increase of decrease. D. in response to a price increases is more elastic than … The kinked demand curve model of oligopoly assumes the elasticity of demand ?Read More...