Assume There Is No Way to Prevent Someone from Using

question 137

Multiple Choice

Assume there is no way to prevent someone from using an interstate highway, regardless of whether or not he or she helps pay for it. This characteristic is called

• A) nonrivalry.
• B) nonexcludability.
• C) nontaxability.
• D) nondiscrimination.

---

Definitions:

Normal Profits

Normal profits are the minimum level of earnings needed for a company to remain competitive in the market, often considered as part of the firm's opportunity costs.

Monopolistically Competitive

A market structure where many firms sell products that are similar but not identical, allowing for differentiation through branding, quality, or other attributes, leading to some level of pricing power.

Differentiated Oligopoly

An oligopoly market structure in which each firm offers a distinct product or service, leading to non-price competition.

Homogeneous Oligopoly

A market structure characterized by a few firms selling products that are identical or very similar.