The kinked-demand curve model of oligopoly:
A. assumes a firm's rivals will ignore any price change it may initiate.
B. suggests a firm's rivals will ignore a price cut but match a price increase.
C. assumes a firm's rivals will match any price change it may initiate.
D. suggests small changes in unit costs will have no effect on equilibrium price and output.
Answer: D
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If the above figure illustrated a perfectly competitive industry, the equilibrium market price would be equal to
A) $4. B) $7. C) $9. D) $11.
Assume that yields on bonds (rate of return) begin to fall while the stock market is booming, what should we see happen to the demand and price of stocks and why?
What can we say about the opportunity cost of holding on to bonds in this situation?
Which of the following statements is FALSE?
A) Other things being equal, society's overall well-being is reduced when a perfectly competitive industry is monopolized. B) When both a perfectly competitive industry and a monopolist face the same production costs and the same market demand curve,the monopolist offers a lower level of output for sale. C) The profit-maximizing monopolist will always produce only along the inelastic portion of the demand curve, whereas equilibrium in a perfectly competitive industry always occurs along the elastic portion of the demand curve. D) When both a perfectly competitive industry and a monopolist face the same production costs and the same market demand curve, the monopolist charges a higher price for its product than what would be charged in a perfectly competitive situation.
Which region in the New World received the smallest share of slaves?
a. Brazil b. Colonial America c. Spanish America d. French Caribbean