Compared to competitive firms, firms with market power are considered Select one: a. unstable in the long run since they will always earn long-run losses even if they earn short-run profits. b. inferior since they always earn losses. c. technologically superior since they generate new inventions more efficiently than competitive firms. d. inefficient since they have lower output and set a higher price.

Select the correct answer. ramon applied to the state university in the city where he lives, but he was denied admission. what should he do now? a. change his mind about graduating and drop out of high school so he can start working right away. b. decide not to go to college, because he didn’t have a backup plan. c. stay positive and write a mean letter to let the college know that they made a bad decision. d. learn from this opportunity, reevaluate his options, and apply to his second and third choices.

When used-car dealers signal the quality of a used car with a warranty, a. buyers believe the signal because the cost of a false signal is high b. it is not rational to believe the signal because some used-car dealers are crooked c. the demand for lemons is eliminated d. the price of a lemon rises above the price of a good used car because warranty costs on lemons are greater than warranty costs on good used cars

During which of the following phases of the business cycle does the real gdp fall? a. trough b. expansion c. contraction d. peak