Refer to Cournot Problem. Each firm will produce.
Consider a Cournot oligopoly with two identical firms. These firms each have constant marginal costs of $10. The market for these firms’ product has demand Q = 100 - P.
a. 22.5 units
b. 30 units.
c. 45 units.
d. 90 units.
b. 30 units.
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Suppose wages increase but employment decreases. These changes most likely were caused by
A. a decrease in labor demand. B. an increase in labor supply. C. a decrease in labor supply. D. an increase in labor demand.
Typical structure characteristics of interest to Industrial Organization researchers include
a. Barriers to entry b. Product differentiation among firms c. The number and size distribution of firms d. All of the above
Economic efficiency
What will be an ideal response?
People who create new economic enterprises are called:
A. engineers. B. entrepreneurs. C. owners of physical capital. D. technology experts.