In tacit collusion, price visibility ________ the cost of cheating and ________ the temptation to cheat.
A) decreases; increases
B) increases; increases
C) decreases; decreases
D) increases; decreases
B) increases; increases
You might also like to view...
In the short run, if the economy is at full employment, then the quantity of real GDP
A) is equal to potential GDP, and the unemployment rate is equal to the natural unemployment rate. B) does not necessarily equal potential GDP, but the unemployment rate is equal to the natural unemployment rate. C) is equal to potential GDP, but the unemployment rate does not necessarily equal the natural unemployment rate. D) is equal to potential GDP, but the unemployment rate is less than the natural unemployment rate. E) exceeds potential GDP, and the unemployment rate is less than the natural unemployment rate.
Which statement explains why monopolists are not productively efficient?
a. Monopolists do not produce at the minimum of the average cost curve. b. Monopolists produce at the quantity where P = MC. c. Monopolists spend too much on developing innovative products. d. Monopolists produce too many goods at a lower average cost.
Some economists believe that because the government ______________ discouraged workers as unemployed, the unemployment rate is biased ________________
A) counts; upward B) counts; downward C) does not count; upward D) does not count; downward
Hurricane Katrina damaged a large portion of refining and pipeline capacity when it swept through the Gulf coast states in August 2005. As a result of this, many gasoline distributors were not able to maintain normal deliveries. At the pre-hurricane
equilibrium price (i.e., at the initial equilibrium price), we would expect to see A) a surplus of gasoline. B) the quantity demanded equal to the quantity supplied. C) a shortage of gasoline. D) an increase in the demand for gasoline.