Oligopolists may well be able to reach their preferred, cooperative outcome if
a. the number of oligopolists is large.
b. they learn that a Nash equilibrium is in their best long-term interests.
c. a sufficient number of firms can be persuaded to lower their prices.
d. the game they play is repeated a sufficient number of times.
d
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A country opens up to trade and imports clothing. In the clothing market, surplus has been redistributed from
A) producers to consumers. B) consumers to producers. C) government to consumers. D) producers to government.
The basis for free trade is the concept of
A) absolute advantage. B) differences in natural resources and climate. C) differences in nominal wages. D) comparative advantage.
Cyclical unemployment is caused by:
a. shifts in the job skills required in the economy. b. seasonal layoffs. c. declines in real GDP. d. cyclical changes in the job skills among workers.
The investment demand curve will shift to the right as a result of:
A. an increase in the excess production capacity available in industry. B. an increase in business taxes. C. technological progress. D. an increase in the acquisition and maintenance cost of capital goods.