Which of the following is not a characteristic of a monopolistically competitive market?

A. There are many firms.
B. Firms sell products that are similar but not identical.
C. Firms must take the market price as given.
D. There are no artificial barriers to entry.


Answer: C

Economics

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Answer the following statement(s) true (T) or false (F)

1. A Cournot equilibrium arises when one player announces his strategy before the other. 2. The Stackelberg equilibrium of a sequential game must also be a Nash equilibrium. 3. In a sequential game, guaranteed commitment to a strategy will make a player worse off. 4. A merger between Gateway, a manufacturer of computers, and Logitech, a manufacturer of components for computers, would be an example of horizontal integration. 5. The Sherman Act of 1890 and the Clayton Act of 1914 gave courts the power to prevent mergers that reduce competition and provided clear criteria to apply in determining when a merger would do so.

Economics

Which of the following accounts records the change in U.S. official reserves?

A) current account B) capital and financial account C) official settlements account D) none of the above

Economics

A balance of trade surplus exists when

A. net exports are negative. B. imports exceed exports. C. net exports are positive. D. All of the choices are true.

Economics

The Federal Open Market Committee:

A. includes all regional bank presidents and the Board of Governors. B. is the most important policy-making body of the Federal Reserve. C. is responsible for regulatory oversight and implementation of monetary policy of regional banks. D. is responsible for monitoring how goods and services are being sold on the open market.

Economics