Describe some of the ways in which firms differentiate their products.
What will be an ideal response?
Firms might differentiate their products on the basis of physical characteristics, location, services, or image, among other things.
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Refer to Horizontal Merger. As a consequence of the merger, consumers lose surplus equal to
The following questions refer to the accompanying diagram, which shows the effects of a horizontal merger. Before the merger, the firm behaves competitively producing Q0 and charging P0. The merger lowers the firm's marginal cost and gives the firm enough market power to switch to the monopoly equilibrium.
a. Area A + B.
b. Area C + D.
c. Area C + D + E.
d. Area G.
Refer to the figure below. In this game, the dominated strategy for Player A: 
A. will depend on Player B's move. B. is to play down. C. is to play up. D. is to cooperate with Player B.
A decrease in aggregate demand in the economy will have what effect on macroeconomic equilibrium in the long run?
A) The price level will fall, and the level of GDP will be unaffected. B) The price level will rise, and the level of GDP will be unaffected. C) The price level will rise, and the level of GDP will fall. D) The price level will fall, and the level of GDP will fall.
The demographic trends in population growth and migration after the Civil War differed significantly from those established before the War
Indicate whether the statement is true or false