In the Cournot model of oligopoly:
A. firms produce differentiated products and set their prices simultaneously.
B. firms produce homogenous products and set their prices simultaneously.
C. firms choose how much to produce simultaneously and the price clears the market given the total quantity produced.
D. firms choose how much to produce and the price to charge simultaneously.
C. firms choose how much to produce simultaneously and the price clears the market given the total quantity produced.
You might also like to view...
A Treasury expenditure financed through borrowing from the Federal Reserve will cause the money supply
A) and bank reserves to rise by an equal amount. B) and bank reserves to fall by an equal amount. C) to rise but bank reserves to rise by a greater amount. D) to rise by a greater amount than the rise in bank reserves.
To deal with difficulties in administering pension funds, Congress in 1974 passed the
A) Corrupt Pension Fund Reform Act. B) Securities and Exchange Act. C) Employee Retirement Income Security Act. D) Social Security Act.
What does the Gauss-Markov theorem prove? Without giving mathematical details, explain how the proof proceeds. What is its importance?
What will be an ideal response?
Central planning is an efficient method for making coordination decisions.
Answer the following statement true (T) or false (F)