A Firm Can Be the Sole Supplier of a Good

question 328

Multiple Choice

A firm can be the sole supplier of a good and is still not a monopolist if

• A) the firm is not large.
• B) the good produced is not important to the economy.
• C) the firm is not making excessive profits.
• D) there are very close substitutes for the good.

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Definitions:

Human Vision

The ability of the eyes and brain to process light stimuli into images, enabling sight.

Candle Flame

The visible, luminous part of a candle that produces light and heat from the combustion of the candle’s fuel.

Absolute Threshold

The minimum intensity of a stimulus that one can detect 50% of the time.

Psychophysical Threshold

The minimum level of stimulus intensity needed for detection by sensory systems.