Multiple Choice
Free entry and exit means that
A) banks charge no interest on a loan to start a firm.
B) there are no artificial barriers to entering and exiting an industry.
C) no investment is necessary in order to enter an industry.
D) it costs nothing to start a firm.
E) a firm is free to enter and exit a nation without having to pay high tax levies.
Correct Answer:
Verified
Correct Answer:
Verified
Q104: Suppose the government gives a subsidy to
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Q106: Exhibit 9-1 <img src="https://d2lvgg3v3hfg70.cloudfront.net/TB6906/.jpg" alt="Exhibit 9-1
Q107: If the computer industry exhibits external economies
Q108: Firms may enter or exit a competitive
Q110: Exhibit 9-1 <img src="https://d2lvgg3v3hfg70.cloudfront.net/TB6906/.jpg" alt="Exhibit 9-1
Q111: Exhibit 9-1 <img src="https://d2lvgg3v3hfg70.cloudfront.net/TB6906/.jpg" alt="Exhibit 9-1
Q112: Exhibit 9-2 <img src="https://d2lvgg3v3hfg70.cloudfront.net/TB6906/.jpg" alt="Exhibit 9-2
Q113: Explain why a long-run equilibrium can occur
Q114: When external diseconomies of scale occur, as