The Mid-Atlantic Ridge Runs North and South Along the Bottom

question 53

Multiple Choice

The Mid-Atlantic Ridge runs north and south along the bottom of the Atlantic Ocean.Which factor is likely to vary most on the two sides of this ridge?

• A) Water pressure
• B) Water temperature
• C) Sunlight penetration
• D) Benthic (bottom) life
• E) Pelagic (floating or swimming) life

Differentiate between short-run and long-run equilibriums in monopolistically competitive markets.

Describe the concept of excess capacity and its implications for efficiency in monopolistically competitive markets.

Explain how monopolistically competitive markets achieve or fail to achieve allocative and productive efficiency.

Analyze the impact of firm entry and exit in monopolistically competitive industries on demand curves and profits.

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Definitions:

Hot-Dog Stand

A small-scale food retail outlet specializing in selling hot dogs, often found at busy street locations, events, or fairs.

Reservation Price

The reservation price is the maximum price that a consumer is willing to pay for a good or service or the minimum price a seller is willing to accept.

Barbara Streisand CDs

Physical compact discs containing music recorded by the American singer, actress, and filmmaker Barbara Streisand.

Complements

Goods that are often consumed together, such that an increase in demand for one leads to an increase in demand for the other.