quanda17 - Chapter 17 1. Categorize each of the following...

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Practice Questions to accompany Mankiw & Taylor: Economics 1 Chapter 17 1. Categorize each of the following markets as one of: competitive, monopolistic, or monopolistically competitive. Explain. a. toothpaste Answer: monopolistically competitive—many firms, differentiated products, free entry b. local newspapers Answer: monopoly—one firm c. magazines Answer: competitive—many firms, identical products d. wheat Answer: monopoly—one firm (Could be a natural monopoly because one firm can satisfy the entire market on the downward-sloping portion of its ATC curve.) e. video games Answer: monopolistically competitive—many firms, differentiated products, free entry f. beer Answer: competitive—many firms, identical products
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Practice Questions to accompany Mankiw & Taylor: Economics 2 2. Suppose that there are many restaurants in the city and that each has a somewhat different menu. a. In Exhibit 1, draw the diagram of the cost curves (average total cost
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This note was uploaded on 07/06/2009 for the course BUS BAM303 taught by Professor Na during the Spring '09 term at 東京大学.

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quanda17 - Chapter 17 1. Categorize each of the following...

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