.A perfectly competitive market is one in which many firms produce many different varieties of the same product. Group of answer choices : True False 2.Which of the following is one of the necessary conditions for the perfect competition model to exist? Group of answer choices : O. Total diminishing utility. O. Differentiated products. O. Large number of firms. O. Upward sloping average fixed cost. 3.The existence of positive economic profits induces firms to: Group of answer choices : O. enter an industry, which shifts the market supply curve to the left and decreases market price. O. enter an industry, which shifts the market supply curve to the right and increases market price. O. exit an industry, which shifts the market supply curve to the right and decreases market price. O. enter an industry, which shifts the market supply curve to the right and decreases market price 4.If a firm in a perfectly competitive market model experiences a technological breakthrough: Group of answer choices : O. other firms would not find out about it. O. other firms would find out about it eventually. O. some firms would find out about it but others would not. O. other firms would find out about it immediately.

ENGR.ECONOMIC ANALYSIS
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ISBN:9780190931919
Author:NEWNAN
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Chapter1: Making Economics Decisions
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1.A perfectly competitive market is one in which many firms produce many different varieties of the same product. Group of answer choices : True False 2.Which of the following is one of the necessary conditions for the perfect competition model to exist? Group of answer choices : O. Total diminishing utility. O. Differentiated products. O. Large number of firms. O. Upward sloping average fixed cost. 3.The existence of positive economic profits induces firms to: Group of answer choices : O. enter an industry, which shifts the market supply curve to the left and decreases market price. O. enter an industry, which shifts the market supply curve to the right and increases market price. O. exit an industry, which shifts the market supply curve to the right and decreases market price. O. enter an industry, which shifts the market supply curve to the right and decreases market price 4.If a firm in a perfectly competitive market model experiences a technological breakthrough: Group of answer choices : O. other firms would not find out about it. O. other firms would find out about it eventually. O. some firms would find out about it but others would not. O. other firms would find out about it immediately.
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