A new firm successfully enters a three-firm Cournot oligopoly without changing the demand and cost structures. The new price becomes:
A. unknown for lack of other information.
B. 50 percent of the original price.
C. 75 percent of the original price.
D. the same as the original price.
Answer: A
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The principal result of the rising value of the U.S. dollar in the mid-1990s was the
A. lower foreign inflation. B. lower U.S. interest rates. C. opportunities for currency speculation. D. attractive investments in U.S. technology.
Refer to the given list. Which of the following are considered to be "near-monies?"
Answer the question on the basis of the following list of assets: 1. Large-denominated ($100,000 and over) time deposits 2. Noncheckable savings deposits 3. Currency (coins and paper money) in circulation 4. Small-denominated (under $100,000) time deposits 5. Stock certificates 6. Checkable deposits 7. Money market deposit accounts 8. Money market mutual fund balances held by individuals 9. Money market mutual fund balances held by businesses 10. Currency held in bank vaults A. Items 2, 5, 8, and 9. B. All items except for 3. C. Items 2, 4, 7, and 8. D. Items 1, 5, and 10.
Nobody needs soda. So why do people drink it?
A) They deny the data and believe they really do need soda. B) The expected additional benefits of another soda outweigh the additional costs. C) There are no substitutes for soda. D) Soda is a good for the people who consume it, and therefore they will drink it at any price.
Violent protests against the WTO meeting in Seattle reflected popular concerns over
A. the consequences of globalization. B. high tariffs. C. the lack of exports. D. the 2000 Presidential election outcome.