Multiple Choice
An increase in the price of an input to a perfectly competitive industry will:
A) increase price and reduce the number of firms.
B) increase price and increase the number of firms.
C) increase price and have an ambiguous effect on the number of firms.
D) reduce the number of firms and have an ambiguous effect on price.
Correct Answer:

Verified
Correct Answer:
Verified
Q3: One example of Ricardian rent is:<br>A)rent paid
Q3: A deadweight loss of consumer and/or producer
Q5: One way to minimize the excess burden
Q6: A demand curve will shift out for
Q8: refer to a market in which quantity
Q10: refer to a market in which quantity
Q11: In a competitive market,an efficient allocation of
Q11: In the very short run:<br>A)new firms may
Q35: For an increasing cost industry,the long-run supply
Q40: Firms in long-run equilibrium in a perfectly