DONT EXPLAIN, JUST TRUE OR FALSE. s Externalities may be present in perfectly competitive markets. a.True b.False There are four distinct market structures, according to neoclassical economists. a.True b.False If there are changes in consumer tastes, a perfectly competitive market will not be affected. a.True b.False If price is below the long-run average cost, firms will enter the market in the long run. a.True b.False The increase of cost that is required to increase output of some good or service by one unit is marginal cost. a.True b.False The difference between total revenue and total costs is pure economic profit. a.True b.False One condition for a perfectly competitive firm to be in long-run equilibrium is that it has no incentive to produce more or less output. a.True b.False If there are no legal barriers to market entry, it is called free market entry. a.True b.False
