In a 20-firm industry, two of the smallest firms merge. Yet the 4-firm concentration ratio and the 8-firm concentration ratio did not change. All things considered, we can say that the industry has
A) moved closer to pure competition because the number of firms decreased.
B) moved farther away from competition because the number of firms decreased.
C) experienced no change in competition even though the number of firms decreased.
D) to be identified first; otherwise there is no way to tell.
Answer: B
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Using the information in the table shown, the marginal revenue for the 4th unit is:
This table represents the revenues faced by a monopolist.
A. higher than that of the 3rd unit.
B. lower than that of the 3rd unit.
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