If the market for a product begins as perfectly competitive and then becomes a monopoly, there will be a reduction in economic efficiency and a deadweight loss
Indicate whether the statement is true or false
TRUE
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Ceteris paribus, if interest rates in the United States rise relative to those abroad, then the surplus in the U.S. capital account would
A. Grow larger and the dollar would appreciate. B. Become smaller and the dollar would depreciate. C. Become smaller and the dollar would appreciate. D. Grow larger and the dollar would depreciate.
In a prisoner's dilemma:
a. all competing parties gain. b. one competitor gains at the expense of another. c. all competing parties lose. d. one competitor loses.
Since 1946 the U.S. economy has been marked by
A. A 32% macro failure rate. B. A 46% macro failure rate. C. Less stability due to the discretionary policies of the government. D. Greater stability due to a hands-off policy by the government.
A profit-maximizing monopolist will never operate in the portion of the demand curve with price elasticity equal to
A) -3. B) -1. C) -1/3. D) Any of the above—the price elasticity does not matter.