Firms in all types of market structures pay attention to current rival firms' behavior
Indicate whether the statement is true or false
False. Monopolies don't have current rivals. Competitive firms only pay attention to the market price. Oligopolistic and monopolistic competitive firms pay attention to current rivals.
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Regular and organic vegetables are substitutes. A rise in the price of organic vegetables, other things constant, would tend to
A) reduce the demand for regular vegetables. B) increase the demand for regular vegetables. C) have no effect on the demand for regular vegetables. D) have no effect on the quantity demanded of organic vegetables.
Refer to Table 20-13. Consider a simple economy that produces only three products: tacos, earplugs, and toothbrushes. Use the information in the table to calculate the inflation rate for 2016, as measured by the consumer price index
What will be an ideal response?
According to the classical school, the best countercyclical policy for the government to follow is to
a. increase the money supply until money demanded equals money supplied b. cut taxes to stimulate production c. do nothing d. cut government spending to curb inflation e. cut the money supply to curb inflation
With multiple-peaked preferences,
A. a unique political equilibrium does not exist. B. all individuals have a point that is most preferred. C. the law of transitivity is violated. D. all of these answer options are correct.