Between 1986 and 2015, prescription drug prices rose
A. faster than overall inflation and faster than over-the-counter drugs.
B. at the same rate as over-the-counter drugs.
C. slower than overall inflation.
D. slower than inflation for over-the-counter drugs.
Answer: A
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An oligopoly firm is similar to a monopolistically competitive firm in that
A) both operate in a market in which there are significant entry barriers. B) both firms face the prisoner's dilemma. C) both firms have market power. D) both firms are in industries characterized by interdependence of firms.
The Federal Reserve econometric model predicts that a 2 percent increase in the money supply will increase real GDP after one year by
A) 1 percent. B) 2.5 percent. C) 2 percent. D) 10 percent.
A binary variable is a variable whose value changes with a change in the number of observations.
Answer the following statement true (T) or false (F)
In 1961, seven companies in the ___________ industry were found guilty by the Supreme Court of illegal price-fixing and market-sharing agreements.
Fill in the blank(s) with the appropriate word(s).