Suppose that two clothing manufacturers, Frederick's Fashions and Stephan's Styles, announce that they plan to merge. The Herfindahl-Hirschman index is currently 1,500. After the merger, the HHI will rise to 1,560. This market is
A) highly concentrated and so the government will definitely challenge the merger.
B) moderately concentrated and because the merger increases the HHI by more than 50 points, the government will definitely challenge the merger.
C) moderately concentrated, but because the merger increases the HHI by less than 100 points, the government will probably not challenge the merger.
D) competitive and so the government will not challenge the merger.
C
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National health care programs are not as effective as they could be because:
A. health care providers tend to have a high absentee rate. B. traditional Western medicine is largely untrusted in most parts of the developing world. C. many doctors in clinics do not have sufficient knowledge to properly diagnose patients. D. patients are not receptive to utilization of modern medicine in most nations.
In 2012, the United States had
A) a current account deficit because imports were greater than exports. B) a current account deficit and a capital and financial account deficit. C) a capital and financial account deficit because exports were greater than imports. D) a current account surplus because imports were greater than exports. E) no change in U.S. official reserves.
The short-run equilibrium price level and real GDP is derived where the short-run aggregate supply (SRAS) curve intersects the long-run aggregate supply (LRAS) curve
Indicate whether the statement is true or false
A decrease in the foreign interest rate relative to the domestic interest rate ________ the exchange rate value of a foreign currency in the short run.
A. causes fluctuations in B. does not affect C. lowers D. raises