Tacit collusion
A. is more likely to be successful in increasing industry profits when there are a few, similar firms in the industry.
B. is more likely to effectively raise prices in the industry when demand is elastic.
C. occurs when firms engage in formal agreements to reduce output and increase prices in their industry.
D. is legal under the U.S. antitrust laws.
Answer: A
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A) $300. B) $225. C) $150. D) $10.
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A. break even if marginal revenue equals marginal cost B. make an economic profit if marginal cost is less than average total cost C. incur an economic loss if average fixed cost exceeds marginal revenue D. incur an economic loss if average total cost exceeds marginal revenue
Refer to Table 9-12. If the actual terms of trade are 1 belt for 1.5 swords and 50 belts are traded, how many belts will Morocco consume?
A) 60 B) 70 C) 90 D) 120
A decrease in labor productivity will increase marginal cost
Indicate whether the statement is true or false