Concentration ratios for monopolistically competitive markets typically fall in the range of 70 to 100 percent.
Answer the following statement true (T) or false (F)
False
Concentration ratios between 70 to 100 percent are common in oligopolies. Although a few firms may stand above the rest in a monopolistically competitive market, the combined market share of the top four firms will typically be in the range of 20 to 40 percent.
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Refer to the scenario above. If the individual places his bet on four pockets, his likelihood of winning is:
A) 1%. B) 4%. C) 8%. D) 10%.
Which of the following tools is NOT a policy tool of the Fed?
A) last resort loans B) the tax rate on interest income C) the reserve ratio D) open market operations
One reason that lawyers might prefer a contingent contract when representing a plaintiff in a tort case is that
A) lawyers are risk neutral. B) diversification of many cases allows lawyers to reduce risk. C) lawyers are typically confident about winning every case. D) hourly rates for lawyers are usually very low.
The number of transactions a typical dollar is used in during a given period is called the:
A. transaction velocity. B. transaction rate. C. quantity theory of money. D. velocity of money.