A natural monopoly can purposely increase its cost of production by
A. Using government subsidies to offset losses.
B. Keeping marginal costs low.
C. Using its own unregulated subsidiary to inflate its cost.
D. Substituting cheaper inputs.
Answer: C
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The best example of a cyclically unemployed individual is
A) Charles who lost his job as a real estate salesperson when the housing market went soft because of a recession. B) Alice who quit her job to enter college. C) Mary who lost her job in the textile industry following a decrease in the tariff on textiles. D) Bob who has just graduated from college and is entering the labor market.
In the above figure, the opportunity cost of moving from producing 50 guitars and 50 ukuleles to producing 25 guitars and 75 ukuleles is
A) 25 guitars. B) 75 ukuleles. C) 25 ukuleles. D) 50 guitars.
Which of the following amended the Clayton Act's prohibition against mergers that substantially lessen competition?
A. Celler-Kefauver Act of 1950. B. Wheeler-Lea Act of 1938. C. Clayton Act of 1914. D. Sherman Act of 1890.
The average hourly wage (excluding benefits) in the United States is currently around
A. $7.25 B. $15.50 C. $20.00 D. $26.00