Cost-reduction generate
a. Increases in long-run profitability
b. Increases in long-run profitability only if the cost reduction is difficult to imitate
c. Increases in product differentiation
d. Reduction in competitive intensity
b
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Which of the following should be increased during an expansion?
A) Government spending B) Unemployment C) Inflation D) Tax rates
How does the aggregate demand curve reflect an increase in aggregate demand?
What will be an ideal response?
Based on the data in this table,
U ? ? period 1 6 1 4 period 2 8 0 3.2 period 3 8 2 4.4 If the natural rate of unemployment is steady at 7 percent, and, in period four, there is no price shock and unemployment is 8 percent, then the inflation rate in period 4 will be ________ percent. A) 4.4 B) 3.6 C) 3.4 D) 1.6 E) none of the above
Suppose that a consumer has a health insurance program with co-payments of $10 per doctor visit. If the consumer purchases 6 doctor visits and the bill charged by the doctor for 6 visits is $360, the portion of this cost covered by a third-party payer is:
A. $300. B. $60. C. $420. D. $360.