In oligopoly, firms
A. are able to influence price only if the oligopolist's products are differentiated.
B. by virtue of their size, are able to influence price regardless of whether or not the product is differentiated or standardized.
C. are able to influence price only if the oligopolist's products are standardized.
D. have no influence over price regardless of whether or not the product is differentiated or standardized.
Answer: B
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If a firm finds that, at its current level of employment, VMP < W, then it has
A) reached maximum profits. B) reached minimum profits. C) not hired enough labor to maximize its profit. D) hired too much labor to maximize its profit.
Dana wants to try working as an independent contractor this summer. She has a 50 percent chance that she will make $10,000 and 50 percent chance that she will make nothing. What's Dana's expected income from taking this job?
A) $10,000 B) $7,000 C) $5,000 D) zero
Consider the relationship between the price of gas and the quantity of gas consumed by drivers. If we are to consider the price of gas as the only factor affecting the quantity of gas consumed, while holding other factors such as drivers' incomes and tastes and preferences irrelevant, then we are invoking: (check all that apply)
a. economic generalizations. b. the law of supply. c. the other-things-equal assumption. d. ceteris paribus. e. marginal analysis.
Increases in the duration of unemployment may
A. increase the number of discouraged workers. B. reflect a general downturn in economic activity that depresses job openings. C. increase the unemployment rate. D. all of these.