A Market Which Firms Can Enter If They Choose and Exit

question 130

Multiple Choice

A market which firms can enter if they choose and exit without losing money invested is

• A)pure monopoly.
• B)duopoly.
• C)contestable.
• D)a market where there are kinked demand curves.

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Definitions:

Common Carrier

A business or service that is licensed to transport goods or passengers on a regular basis and is available to the public.

Bailee

The person who takes possession of a chattel in a bailment.

Foreseeable Harm

Damage or injury that a reasonable person should be able to predict or anticipate as a likely result of their actions or omissions in a given set of circumstances.

Gratuitous Bailment

A bailment relationship where the bailee agrees to hold goods without receiving any form of payment, purely out of goodwill.