Competition between oligopolists drives:
A. price and profits down to below the monopoly level.
B. price and profits down to the perfect competition level.
C. some firms out until the market becomes a monopoly.
D. collusion to happen frequently.
A. price and profits down to below the monopoly level.
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If desired saving increases in a small open economy, net exports (net capital outflow) rise. What happens to net exports if desired saving rises in most of the world's economies at the same time?
What will be an ideal response?
The demand curve faced by a dominant firm in an oligopoly model is the difference between the market demand and the supply that the fringe will produce at each price
Indicate whether the statement is true or false
An economy operating to the left of its LRAS is operating ______.
a. inside its production possibilities curve b. outside its production possibilities curve c. on its production possibilities curve d. without a production possibilities curve
In the following regression equation, y is a binary variable:
y = 
0+1x1+…kxk+ u
In this case, the estimated slope coefficient,
measures _____.
A. the predicted change in the value of y when x1 increases by one unit, everything else remaining constant
B. the predicted change in the value of y when x1 decreases by one unit, everything else remaining constant
C. the predicted change in the probability of success when x1 decreases by one unit, everything else remaining constant
D. the predicted change in the probability of success when x1 increases by one unit, everything else remaining constant