03 Jun Question QUIZ 3 MULTIPLE CHOICE QUESTIONS (2 pts. EACH)
Question
QUIZ 3
MULTIPLE CHOICE QUESTIONS (2 pts. EACH)
1. Characteristics of a perfectly competitive market include
A. The absence of transaction costs
B. Differentiated products
C. Few sellers, some with a large market share
D. All of the above
2. Suppose Julia and Zach are the only consumers of milk. Julia’s demand for milk is defined as
at prices below $4 and zero for prices above $4. Zach’s demand for milk is
defined as
at prices below $5 and zero for prices above $5. If the market price
for milk is $4.50, market demand is
A. Zero
B. 1.5
C. 1
D. 10
3. Milky Moo and Mega Cow are the only sellers of milk. Milky Moo’s supply function is
at prices above $0.50 and zero at prices below $0.50. Mega Cow’s supply
function is
at prices above $0.33 and zero at prices below $0.33. At a price of
$0.45
A. Milky Moo is the only supplier of milk
B. Mega Cow is the only supplier of milk
C. Both Milky Moo and Mega Cow supply milk
D. Neither Milky Moo nor Mega Cow supply milk
4. With free entry
A. The long run market supply curve is horizontal at the market price
B. The long run market supply curve is vertical at the market price
C. The short and long run market supply curves are the same
D. A and D
5. The market demand for milk is
. Additionally, suppose that a dairy’s variable
costs are
(where Q is the number of gallons of milk produced each day), its marginal
cost is
and there is an avoidable fixed cost of $50 per day. In the long run there is free
entry into the market. Suppose the demand for milk doubles. If in the short run the number of
firms is fixed and their fixed costs are sunk, what is each of the active firms’ profit per unit in the
short run equilibrium?
Our website has a team of professional writers who can help you write any of your homework. They will write your papers from scratch. We also have a team of editors just to make sure all papers are of HIGH QUALITY & PLAGIARISM FREE. To make an Order you only need to click Ask A Question and we will direct you to our Order Page at WriteDemy. Then fill Our Order Form with all your assignment instructions. Select your deadline and pay for your paper. You will get it few hours before your set deadline.
Fill in all the assignment paper details that are required in the order form with the standard information being the page count, deadline, academic level and type of paper. It is advisable to have this information at hand so that you can quickly fill in the necessary information needed in the form for the essay writer to be immediately assigned to your writing project. Make payment for the custom essay order to enable us to assign a suitable writer to your order. Payments are made through Paypal on a secured billing page. Finally, sit back and relax.
About Writedemy
We are a professional paper writing website. If you have searched a question and bumped into our website just know you are in the right place to get help in your coursework. We offer HIGH QUALITY & PLAGIARISM FREE Papers.
How It Works
To make an Order you only need to click on “Order Now” and we will direct you to our Order Page. Fill Our Order Form with all your assignment instructions. Select your deadline and pay for your paper. You will get it few hours before your set deadline.
Are there Discounts?
All new clients are eligible for 20% off in their first Order. Our payment method is safe and secure.