If a lower price for a Pepsi decreases the demand for a Coke, the cross elasticity value for Pepsi and Coke is
A) definitely negative.
B) definitely equal to zero.
C) definitely positive.
D) definitely greater than one.
E) possibly negative, positive, or zero, but there is not enough information to decide.
C
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Government regulation of the prices charged by monopolies is an example of
a. safety regulation b. economic regulation c. Herfindahl regulation d. antitrust regulation e. antimerger regulation
If we compare income percentages of total income of the highest quintile in 1968 with 2008, we would find that it was
A. rising. B. staying about the same. C. falling.
Which of the following products will be sold by a differentiated oligopoly?
a. Automobiles b. Dairy products c. An ingot of steel d. A barrel of oil
Negative Incentive
What will be an ideal response?