Other things being equal, a firm in a cartel will most likely cheat on a price-fixing agreement by:

A. secretly increasing sales to a large number of small customers.
B. secretly lowering price and increasing sales to a few customers.
C. increasing price and restricting its output.
D. organizing promotions of the product.


Answer: B

Economics

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The tables above show the labor market and the production function schedule for the country of Pickett. An increase in population changes the labor supply by 20 billion hours at each real wage rate. Potential GDP ________

A) does not change B) decreases to $3 trillion C) increases to $50 trillion D) increases to $18 trillion

Economics

The larger the MPS, the smaller the value of the multiplier

Indicate whether the statement is true or false

Economics

The analysis of economic outcomes before and after some economic variable is changed is referred to as:

A) cardinal research. B) comparative statics. C) Pareto analysis. D) marginal study.

Economics

If the marginal propensity to save is 0.2, what is the expenditure multiplier?

a. 0.8 b. 1.2 c. 2 d. 5

Economics