When government uses the judgment by structure criterion, a firm is considered a monopoly only if, for example, it charges excessive prices.
Answer the following statement true (T) or false (F)
False
Using the structure (as opposed to performance) criterion, antitrust policy examines the structure of the industry, that is, how much of the market the firm controls.
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Which of the following makes short-term conditional low-interest loans to LDCs?
a. World Bank. b. Agency for International Development (AID). c. Agency for International Finance (AIF). d. International Monetary Fund (IMF).
Every society must deal with the problem of scarcity because:
a. people do not have enough money to buy everything they need. b. government levies heavy taxes on households and firms. c. human beings become satiated as consumption increases. d. human wants are nearly unlimited relative to the availability of resources. e. productive resources, technology, and labor are unlimited.
Entry into a competitive market will continue until
A) economic profits are zero. B) normal profits are zero. C) when accounting losses are zero. D) a. and b. are true
Which of the following demonstrates the law of supply? a. When leather became more expensive, belt producers decreased their supply of belts
b. When car production technology improved, car producers increased their supply of cars. c. When sweater producers expected sweater prices to rise in the near future, they decreased their current supply of sweaters. d. When lemon prices rose, lemon growers increased their quantity supplied of lemons.