Sellers respond to a shortage by cutting their prices

a. True
b. False
Indicate whether the statement is true or false


False

Economics

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Oligopolistic industries are characterized by a

A) few large firms and no barriers to entry. B) large number of firms and no barriers to entry. C) few large firms and substantial barriers to entry. D) large number of firms and substantial barriers to entry.

Economics

Which of the following best illustrates the fallacy of composition? a. If I have more money, I will be better off; therefore if we all had more money, we all would be better off

b. If I buy more gas each week, my gas consumption increases; therefore, if all gas consumers buy more gas each week, total gas consumption will increase. c. If I spend more time studying, I will learn more; therefore, if all students spend more time studying, they will learn more. d. If women's hemlines are higher this year, the Dow Jones Industrials average will fall.

Economics

For a typical consumer, most indifference curves are downward sloping

a. True b. False Indicate whether the statement is true or false

Economics

When the government runs a budget surplus, it uses the funds to:

A. decrease public saving. B. decrease transfer payments. C. issue bonds. D. pay down outstanding debt.

Economics