Whenever any firms in a concentrated industry merge, the four firm concentration ratio:
a. will rise
b. may rise or stay the same.
c. may rise or fall.
d. will fall.
b
You might also like to view...
What is the expected outcome when trade occurs in a monopolistically competitive industry if the nations have similar tastes, technology, products, and costs?
a. No trade is possible. b. Consumers are left with no choices. c. Each firm has a larger market in which to sell, and consumers have more choices of sellers and products. d. Transportation costs become the driving factor.
The argument that trade generates gains for all workers may NOT be true because:
a. a more realistic assumption includes capital and land as factors of production and recognizes that trade will generate gains for some factors and losses for others. b. greedy corporations exploit workers. c. technology gains are concentrated among lowskill workers. d. some workers lack skills and training and cannot find jobs.
Money is created when
A. Congress enacts legislation providing for increased bank reserves. B. depository institutions make loans. C. the Federal Reserve Board of Governors increases the discount rate. D. Congress reduces taxes.
In a monopoly where the marginal revenue and price are, respectively, given by $0.50 and $2, the price elasticity of demand is:
A. ?4/3. B. ?0.75. C. ?1. D. ?5/4.