Which of the following is true for a typical firm in a typical cartel?
a. "I can never do better for myself than by following agreed-upon cartel policies."
b. "If everyone cheats, I'm better off, and so is everyone else in the cartel."
c. "If I alone cheat, I'm better off; if everyone cheats, I'm worse off."
d. "If I suspect others are planning to cheat, I'll do best for myself by refraining from cheating."
c
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At a certain level of production, the average total cost faced by a monopolist is $6 and the marginal cost faced by the monopolist is $4
If the government decides to regulate the market by setting the price at the efficient price, the good will be sold at a price of: A) $2 per unit. B) $4 per unit. C) $6 per unit. D) $10 per unit.
A situation in which one party makes a contractual agreement with a second party in the expectation that the second party will act on its behalf is known as
a. an adverse selection relation b. a signaling relation c. an authority relation d. a principal-agent relation e. a nonmarket relation
Cost-plus pricing and guaranteed profit regulation give the same results
a. True b. False Indicate whether the statement is true or false
Each of the following except _____ takes a liberal position with respect to poverty.
A. Charles Murray B. Barbara Ehrenreich C. Lisabeth and Daniel Schorr D. Frances Fox Piven