The Cournot model assumes that firm A maximizes its profit, holding firm B's output constant
What will be an ideal response?
True. Even though firm B does react to changes in firm A's output, firm A assumes that firm B does not react but instead holds its output constant.
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If in the economy, business saving equals $240 billion, household saving equals $15 billion and government saving equals -$150 billion, what is the value of national saving?
A. $415 billion B. $105 billion C. $265 billion D. $250 billion
Mutual funds are primarily held by
A) financial institutions. B) households. C) nonfinancial businesses. D) the Social Security trust fund.
Severance taxes do not allow companies to shift any the tax burden to demanders because the supply of natural resources is completely inelastic
a. True b. False
An example of U.S. foreign direct investment would be a:
A. factory in Canada owned by a U.S. citizen. B. factory in Japan owned by a Canadian citizen. C. factory in New Mexico owned by a Japanese citizen. D. All of these are examples of foreign direct investment.