The difficulty in analyzing oligopolistic behavior arises from the

a. degree of government regulation of the market structure.
b. interdependent nature of oligopolistic decisions.
c. large number of firms in the industry.
d. market power of consumers.


B

Economics

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When the optimal quantity of consumption is zero for a given good:

A. a ban is often the best solution. B. changing social norms is often the best solution. C. privatizing the good is often the best solution. D. government provision of the good is often the best solution.

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The Gauss-Markov theorem will not hold if _____.

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The industry elasticity of demand for gadgets is ?2, while the elasticity of demand for an individual gadget manufacturer's product is ?2. Based on the Rothschild approach to measuring market power, we conclude that:

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Economics