An industry in which expansion through the entry of firms decreases the prices, firms in the industry must pay for resources and there fore decreases their production costs ?

Related Mcqs:

1. The part of the urban economy of LDC’s characterized by small competitive individual or family firms, labour intensive methods, free entry and market determined factor and product prices?

   A. Formal sector B. Informal sector C. Formal finance D. Informal finance...

2. A market in which products households sell and firms buy resources or the services of resources is__________________?

   A. Resource market B. Product market C. Consumer market D. Producer market...

3. An industry in which economics profits are negative and which will, therefore, decrease its output as firms leave it ?

   A. Increasing cost industry B. Decreasing cost industry C. Declining industry D. None of these...

4. An economic system in which property resources are privately owned and markets and prices are used to direct and coordinate economic activities________________?

   A. Pure capitalism B. Command Economy C. Closed economy D. Open economy...

5. The private ownership of resources and use of a system of market and prices to coordinate and direct economic activity________________?

   A. Pure capitalism B. Iaissez faire capital C. Both D. None...

6. The sale of products below sale of production in a foreign country or below the prices charged at home is called ?

   A. Dumping B. Subsidy C. Inflation D. Monopoly...

7. The annual amount that a borrower must pay a lender over an above the total borrowed ?

   A. Interest B. Loan C. Interest rated D. None...

8. A legal entry chartered by a state or the federal govt. which is district and separate from the individuals who own it ?

   A. Co-operative B. Partnership C. Corporation D. None...

9. A process of production that uses a higher proportion of capital as compared to other factors of production ?

   A. Capital intensive technique B. Labour intensive technique C. Both a and b D. None of these...

10. An accounting item which decreases the value of an asset___________________?

    A. Debit B. Credit C. Depreciation D. None...