Entry of new firms in monopolistically competitive industries can convey a positive externality on consumers because new products result in more consumer surplus. This externality is called the
product-variety externality,
Economics
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Housing is the largest component of the U.S. CPI market basket
Indicate whether the statement is true or false
Economics
The ECB's focus on restraining inflation is, in large part, a result of:
A) Europe's experience with inflation during the 1960s. B) Germany's experience with hyperinflation during the period between the first and second world wars. C) the ECB's distrust of some of its smaller member countries (e.g., Finland, Portugal). D) its monetary policy having no effect on economic growth.
Economics
Monopolistically competitive firms exist due to high barriers to entry.
Answer the following statement true (T) or false (F)
Economics
Aggregate expenditure equals
What will be an ideal response?
Economics