According to the search model, we should expect greater price dispersion for a given good
a. if the good is a luxury
b. if the good is inferior
c. if there is much common knowledge about the good
d. during a recession
e. if a computerized search service is offered
A
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The internal rate of return is likely to lead to incorrect decisions.
A. True B. False C. Uncertain
Government is a social institution
A) in which people do not engage in competition. B) in which the public interest, rather than private interests, guide individual behavior. C) whose behavior is determined by individuals' perceptions of marginal costs and marginal benefits. D) whose detailed actions are governed by the will of the majority.
If firms in a competitive market are not identical, then an increase in cost will
A) shift marginal cost to the right. B) push the most inefficient firms out of the market. C) push the most efficient firms out of the market. D) There is not enough information to answer.
According to the graph shown, if this were depicting an autarky economy, the equilibrium price would be:
This graph demonstrates the domestic demand and supply for a good, as well as the world price for that good.
A. $23
B. $16
C. $11
D. $45