Figure 11-7 -Monopolists May in the Long Run

question 206

Multiple Choice

Figure 11-7
-Monopolists may in the long run

• A)earn positive economic profit.
• B)be protected by barriers to entry.
• C)grow wealthy at the expense of their consumers.
• D)All of these responses are correct.

Understand the implications of input cost changes on supply.

Recognize the concept of market equilibrium and the forces that lead to its change.

Distinguish between movements along a curve versus shifts of the curve in supply and demand analysis.

Analyze the consequences of technological changes and preferences on market equilibrium.

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Definitions:

Gender

Your sense of being male or female and your playing masculine and feminine roles in ways defined as appropriate by your culture and society.

Race

Race is a social construct used to distinguish people in terms of one or more physical markers, usually with profound effects on their lives.

Class

In Marx’s sense of the term is determined by one’s relationship to the means of production. In Weber’s usage, class is determined by one’s “market situation.” Wright distinguishes classes on the basis of relationship to the means of production, amount of property owned, organizational assets, and skill. For Goldthorpe, classes are determined mainly by one’s “employment relations.”

Socioeconomic Index

A composite measure that typically combines data on income, education, and occupation to characterize or rank individuals or groups' economic and social position.