Although Coca-Cola and PepsiCo are major players in the soft drink industry, the large number of other competing firms means that the industry is most accurately characterized as monopolistically competitive
Indicate whether the statement is true or false
FALSE
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Why do economists regard who is legally responsible for paying the tax to be irrelevant?
What will be an ideal response?
Recently, Skooterville has experienced a large growth in population. As a result, the demand curve for telephone service in Skooterville:
A) has shifted to the right. B) has shifted to the left. C) has shifted down. D) Both B and C are correct. E) none of the above
If public subsidies for education were eliminated, what would you expect as an outcome in the market for educational services?
A) More students would enroll in school. B) The price students pay to attend school would equal the value of an additional unit of education consumed. C) There would be no correlation between the price students pay and the cost of providing the educational services. D) The quality of education would deteriorate.
If a union negotiates a wage above the market equilibrium, each firm's
a. supply of labor is greater than its marginal resource cost b. supply of labor is less than its marginal resource cost c. supply of labor is equal to its marginal resource cost d. demand for labor is less than its marginal resource cost e. demand for labor is greater than its marginal resource cost