Drug companies are allowed to be monopolists in the drugs they discover in order to
a. allow drug companies to charge a price that is equal to their marginal cost.
b. discourage new firms from entering the drug market.
c. encourage research.
d. allow the government to earn patent revenue.
c
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If nominal GDP is $230 for a period and real GDP is $200 for the same period, what is the GDP price index for this period?
What will be an ideal response?
Special interests are most likely to be effective at _____
a. the federal level b. the state level c. and the county level d. at the city level
Suppose that the money supply increases. In the short run this decreases unemployment according to
a. both the short-run Phillips curve and the aggregate demand and aggregate supply model. b. neither the short-run Phillips curve nor the aggregate demand and aggregate supply model. c. the short-run Phillips curve, but not according to the aggregate demand and supply model. d. the aggregate demand and aggregate supply model, but not according to the short-run Phillips curve.
If a nation’s productivity grows by 3% rather than 1.5% over many years, what will be the difference in the nation’s standard of living? Explain
Please provide the best answer for the statement.