In a Bertrand model with differentiated products,
A) firms can set price above marginal cost.
B) firms set price at marginal cost.
C) price is independent of marginal cost.
D) firms set price independently of one another.
A
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Refer to Figure 3-4. If the price is $25,
A) there is a surplus of 300 units. B) there is a shortage of 200 units. C) there is a shortage of 300 units. D) there is a surplus of 200 units.
Briefly explain how a U.S. company that exports to Europe can hedge against exchange rate risk
What will be an ideal response?
________ is (are) the endogenous variable(s) in the Phillips curve
A) Expected inflation B) Inflation C) The natural rate of unemployment D) all of the above E) none of the above
Underemployment occurs:
A. when workers do not have jobs. B. when farm workers become more productive. C. when workers are working fewer hours than they desire or when they are working less productively than they are capable. D. in IACs but not in the DVCs.