ECON 101 Lecture 2: Summary of Chapter One

In the Salop's Model, the equilibrium number of firms is?

A. decreasing with fixed costs and decreasing with transportation costs

B. increasing with fixed costs and decreasing with transportation costs

C. increasing with fixed costs and increasing with transportation costs

D. decreasing with fixed costs and increasing with transportation costs

illustrate a monoply with economic profits, with a loss, break-even.

illustrate a Perfectly competltive firm with economic profits ,with a loss, beak-even

illustrate a Monpoly with socially optimum price and fair return price

Which of the following best illustrates the relationship between entities and attributes?

A) The entity CUSTOMER with the attribute PRODUCT
B) The entity CUSTOMER with the attribute PURCHASE
C) The entity PRODUCT with the attribute PURCHASE
D) The entity PRODUCT with the attribute CUSTOMER
E) The entity PURCHASE with the attribute CUSTOMER