A manager of a firm based in the United States is interested in entering the Italian market. The manager is most concerned about maintaining total control over operations. Which of the following entry methods will best address the manager's concerns?
A) partnership
B) joint venture
C) master franchising
D) independent entry
D) independent entry
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Indicate whether the statement is true or false
If disposable income falls, consumption expenditure falls ________
A) by an amount that depends on the real interest rate B) so that planned expenditure remains constant C) by an amount smaller than the decrease in disposable income D) all of the above E) none of the above
When new firms enter a monopolistically competitive industry: a. the average total cost curves of established firms will shift downward
b. the demand curve of an established firm is reduced at each level of output. c. the established firms will each increase production. d. the average revenue received by an established firm will increase at each level of output.
The hypothesis of political business cycles is based on the assumption that a vertical Phillips curve always holds
a. True b. False Indicate whether the statement is true or false