Mergers and acquisitions can act as a barrier to entry.
Answer the following statement true (T) or false (F)
True
One way to eliminate competitors is to buy them up or eliminate them altogether via mergers or acquisition.
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U.S. tariff rates are substantially higher than the world average
Indicate whether the statement is true or false
As the economy expands, tax revenues _____ and transfer payments _____.
A. fall; rise B. fall; fall C. rise; fall D. rise; rise
Suppose that the demand for my new book, Spatulas From Around the World, is such that the demand curve lies everywhere below the average variable cost of producing it. To maximize profits or minimize losses, I should
a. raise price b. lower price to increase demand c. shut down the presses printing my book d. lower price until demand is inelastic e. charge the highest price I can
Perfect price discrimination describes a situation in which the monopolist
a. knows the exact willingness to pay of each of its customers. b. charges exactly two different prices to exactly two different groups of customers. c. maximizes consumer surplus. d. experiences a zero economic profit.