If a firm in an oligopoly is said to face a kinked demand curve, what do you know to be true about the kink?
a. It represents the maximum price and profit.
b. It occurs at the only output level where the firm suffers loss.
c. It occurs where marginal revenue is zero.
d. It is not a characteristic of an oligopoly.
e. It occurs at the current price.
E
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U.S. official reserves are the ________
A) reserves of U.S. dollars held by the World Bank B) U.S. government's holdings of foreign currency C) reserves of U.S. dollars held by foreign banks D) holdings of foreign currency by the public and the banks
In 2008, the value of the stocks listed on the New York Stock Exchange decreased tremendously. As a direct result:
A. U.S. GDP declined by the amount of the stock market decline but U.S. GNP was unaffected. B. both U.S. GDP and U.S. GNP declined by the same amount. C. neither U.S. GDP nor U.S. GNP were affected. D. U.S. GNP declined by the amount of the stock market decline but U.S. GDP was unaffected.
Since 1960, the percentage of the population with a college degree has increased from ________ to ________.
A. less than 10%; near 35% B. near 40%; near 50% C. around 20%; near 85% D. less than 2%; near 50%
Assume the Environmental Protection Agency imposes an excise tax on polluting firms. In which of the following situations would we expect the additional costs to be borne most heavily by consumers?
A. Demand is highly elastic and supply is highly inelastic. B. Demand and supply are both highly elastic. C. Demand and supply are both highly inelastic. D. Demand is highly inelastic and supply is highly elastic.