Compared with generic products, a brand name:
a. reduces the price elasticity of demand and gives a firm more market power.
b. increases the price elasticity of demand and gives a firm more market power.
c. increases the price elasticity of demand and gives a firm less market power.
d. reduces the price elasticity of demand and gives a firm less market power.
e. has no effect on price elasticity of demand or market power.
a
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Claire works fifteen hours a week at a dry cleaning shop. Dustin is retired and living in a retirement home. Who is officially "unemployed"?
A) Claire B) Dustin C) Claire and Dustin D) neither Claire nor Dustin
When new farmers enter the wheat industry, the equilibrium price of wheat
A. always falls. B. falls only if existing firms gang up on the entrant. C. falls only if existing firms are earning no economic profit. D. falls only if the new firm is more efficient than existing firms.
Because of the free-rider problem, it is necessary that public bureaus manufacture defense weapons
a. True b. False
Anne has just purchased a new house in a lovely neighborhood. Her neighbors are friendly and even brought her house-warming gifts. Anne, however, has a problem. Her neighbors have cats, and Anne hates cats. Even though the city has a law requiring all
outdoor pets to be on a leash, her neighbors ignore it, and the cats roam all over Anne's property. How would an economist describe this situation? Is there anything Anne can do?