The demand curve facing the firm in ____ is the same as the industry demand curve.

The demand curve facing the firm in ____ is the same as the industry demand curve.
 a. pure competition
  b. monopolistic competition
  c. oligopoly
  d. pure monopoly
  e. none of the above

QUESTION 2

An acquisition will not be profitable
 a. In any circumstances
 b. As long as you paid lower than the company's discounted future profits
 c. Without a synergy that makes the company more valuable to you than to the current owner
  d. None of the above

QUESTION 3

Indirect price discrimination differs from direct price discrimination because
 a. In direct price discrimination high value consumers can sometime enjoy the benefits of a low-values customer
  b. In Direct price discrimination firms do not have to worry about cannibalizing
  c. In direct price discrimination there is a risk of creating profitable entries for rival but for indirect price discrimination, this can be avoided
  d. There is no difference between the two

QUESTION 4

If the demand for a product is elastic, then a rise in price will:
 a. cause total spending on the good to increase.
  b. cause total spending on the good to decrease.
  c. keep total spending the same, but reduce the quantity demanded.
  d. keep total spending the same, but increase the quantity demanded.

QUESTION 5

A monopoly will always produce less than a purely competitive industry, ceteris paribus.
 a. true b. false

QUESTION 6

Purchasing a profitable supplier increases profits only if
 a. You pay equal to the company's discounted future profits
  b. You pay higher than the company's discounted future profits
  c. You pay lower than the company's discounted future profits
  d. None of the above