A firm that charges a very low price would be practicing predatory pricing if
a. the price allowed only a small profit.
b. the price would only be profitable if it succeeded in driving a rival out of the market.
c. the price allowed profits that were positive but below those earned by other firms.
d. it only offered the low price to its rivals' customers.
b
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The current level of deposit insurance is
A) $100,000 per depositor. B) $100,000 per deposit. C) $200,000 per depositor. D) $200,000 per deposit.
Which of the following statements is true?
a. The Phillips curve has always been stable. b. If the Phillips curve shifts outward to the right this illustrates a greater tradeoff between unemployment and inflation. c. Keynesian economics assumes a vertical Phillips curve. d. According to the natural rate hypothesis the Phillips curve is downward sloping. e. All of these.
In the long run,
a. some resources are variable and some resources are fixed. b. all the resources can be varied. c. all resources are fixed. d. at least one resource is fixed. e. there are no explicit costs.
When prices and unemployment rise, such an event is sometimes called
a) expansion. b) stagflation. c) inflation. d) depreciation.