Solved by verified expert :21)
Recall the Application. The introduction of satellite TV service is a form of
A)
price gouging.
B)
profiteering.
C)
market entry.
D)
all of the above.
22)
Recall the Application. In most cases where satellite TV service is introduced
in an area with cable TV service, the quality of the cable TV service usually
A)
increases.
B)
decreases.
C)
initially increases, then decreases.
D)
is unaffected.
23)
Recall the Application. In most cases where satellite TV service is introduced
in an area with cable TV service, if the price of cable TV decreases, then
consumer surplus
A)
increases.
B)
decreases.
C)
drops to zero.
D)
becomes negative.
24)
Recall the Application. In most cases where satellite TV service is introduced
in an area with cable TV service, if the price of cable TV increases, then consumer
surplus
A)
increases.
B)
decreases.
C)
drops to zero.
D)
becomes negative.
25)
Recall the Application. In most cases where satellite TV service is introduced
in an area with cable TV service, if the quality of cable TV service increases,
then consumer surplus
A)
increases.
B)
decreases.
C)
drops to zero.
D)
becomes negative.
26)
The entry of an additional firm into a market decreases the profit per unit of
output because entry decreases the price.
27)
The entry of an additional firm into a market shifts the demand curve for the
original firm to the left.
28)
Entry leads to higher prices and profits in an industry.
29)
Entry leads reduces firm profits because it leads to a lower price.
30)
Entry of a second firm will result in a downward shift in the ATC curve.
