In the above table, based on the four-firm concentration ratio, which industry is the most concentrated?
A) Widgets
B) Gadgets
C) Blodgets
D) All three industries are equally concentrated.
C
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The South's economy was based on production of
A. iron, steel and textiles. B. corn, wheat and soybeans. C. tobacco, cotton and rice. D. iron, wheat and cotton.
Refer to Figure 3-1. A decrease in the price of a complementary good would be represented by a movement from
A) A to B. B) B to A. C) D1 to D2. D) D2 to D1.
Which of the following statements about concentration ratios is correct?
A) A high concentration ratio indicates that the industry is a monopoly. B) A high concentration ratio indicates that the industry is monopolistically competitive. C) A high concentration ratio suggests that the industry is characterized by strategic independence. D) A high concentration ratio suggests that the industry is characterized by strategic dependence.
The Lorenz curves in the above figure imply that
A) income is distributed more unequally than wealth. B) wealth is distributed more unequally than income. C) both wealth and income are distributed equally. D) both wealth and income are distributed at the same level of inequality.