The Brander-Spencer model identified market failure in certain industries due to
A) unfair competition.
B) wildcat destructive competition.
C) environmental negative externalities associated with pollution.
D) limited competition.
E) lack of excess returns.
D
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Jack has a ticket to see Daughtry for which he paid $30 yesterday. He takes an unpaid day off from work to get ready for the concert. When he arrives at the concert, five different people offer him $70 for his ticket. Jack decides to keep his ticket. At the time he makes this decision, his opportunity cost of seeing Daughtry is:
A. $70 plus his forgone earnings. B. $30 plus his forgone earnings. C. $70. D. $40.
You own shares in a well-managed and diversified company. If a booming economy decreases investors' concerns about market risk, then the price of your shares will ________, holding other factors constant.
A. decrease. B. not change. C. increase. D. either increase or decrease.
Which of the following statements characterizes government transfer payment spending in the United States between 1960 and 2015?
A) Transfer payment spending by the federal government and by state and local governments has decreased as a percentage of GDP. B) Transfer payment spending by the federal government and by state and local governments has more than tripled as a percentage of GDP. C) Transfer payment spending by the federal government and by state and local governments has remained constant as a percentage of GDP. D) Transfer payment spending by the federal government and by state and local governments has fluctuated widely over this period.
A year-long drought that destroys most wheat crops for the season would shift the:
A. short-run aggregate supply curve only. B. aggregate demand curve only. C. aggregate demand curve, and the short-run aggregate supply curve would shift in response. D. short-run aggregate supply curve and the long-run aggregate supply curve.