Which of the following best illustrates the mutual interdependence among firms in the airline industry?
A) The considerable efforts made by the various competitors to coordinate fare increases.
B) The unwillingness of individual firms to match increased amenities offered by other firms.
C) The substantial profits airlines have earned over the past several years.
D) The virtual absence of control over costs by any of the firms operating in the industry.
A
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Specialization and trade do not allow individuals, firms, or even nations to acquire goods that lie beyond their production capabilities
a. True b. False Indicate whether the statement is true or false
Briefly and concisely define the following terms
a. voluntarism b. direct controls c. depletable resource
Consumer surplus is the difference between the most that consumers would pay and ________
a. the actual amount they do pay b. the amount they want to pay c. the actual amount it costs to produce d. none of the above
A determinant of the supply of loanable funds is:
A. investors' confidence. B. expected profit on an investment. C. current economic conditions. D. All of these are determinants of the supply of loanable funds.