The kinked demand curve explains
A. How an oligopoly can achieve monopoly profits.
B. The consequences of the interdependent behavior of oligopolists.
C. Why oligopolists are more sensitive to cost changes than are competitive markets.
D. Price-fixing along the elastic part of the demand curve and predatory pricing on the inelastic portion.
Answer: B
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If Utopia has a closed economy, the price of tile is $________ per case, and if it has an open economy the price of tile is $________ per case. 
A. 15; 10 B. 30; 15 C. 20; 15 D. 15; 20
What is a production possibilities frontier? What do points along the frontier represent? What do points inside and outside the frontier represent?
What will be an ideal response?
One would expect people who work the night shift to have higher wages than their day-shift counterparts.
Answer the following statement true (T) or false (F)
Assume the market for beef is perfectly competitive. Beef producers are currently earning a zero economic profit. If consumers switch from beef to chicken, which of the following is most likely to occur?
A. Beef producers will incur economic losses in the short run. Some producers will exit the industry until those remaining are earning an economic profit. B. Beef producers will incur economic losses in the short run. Some producers will exit the industry until those remaining are earning a zero economic profit. C. Beef producers will now earn economic profits in the short run, and there will be no additional adjustments in the long run. D. Beef producers will now incur economic losses in both the short run and the long run.