As the demand for a product falls, it is not uncommon for the industry to become a monopoly. This is most likely due to
a. an increase in the number of barriers.
b. legal restrictions being imposed.
c. the surviving firm operating on the declining part of its average cost curve.
d. patent protection causing high prices.
c
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The real business cycle model suggests that, with aggregate demand unchanged, increases in output would be associated with ________
A) an increase in inflation B) a decline in inflation C) and unchanged price level D) procyclical inflation
"Ceteris paribus" means:
a. if events A and B occur together, one must cause the other b. all relevant details are included c. what is true for the individual must be true for the whole. d. holding other things constant.
From 1929 to 1993, the first four years of the Great Depression, U.S. output dropped by more than
a. 10 percent b. 80 percent c. 5 percent d. 50 percent e. 25 percent
When the top marginal tax rate fell from 40 to 35 percent, with other things the same, the U.S. income tax system became:
A. more progressive. B. regressive. C. proportional. D. less progressive.