Suppose that Thierry and Abdul are duopolists. Thierry is producing 700 units of output, and Abdul is producing 500 units of output. When Abdul produces 500 units, Thierry maximizes profit by producing 700 units. When Thierry produces 700 units of output, Abdul maximizes profit by producing 500 units. Thierry and Abdul are
a. pricing at the minimum of marginal cost.
b. in a competitive market.
c. at a Nash equilibrium.
d. engaging in mark-up pricing.
c
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By the height of the housing bubble in 2005 and early 2006, lenders had greatly loosened the standards for obtaining a mortgage loan, with many mortgages being granted to sub-prime borrowers ________ and "Alt-A" borrowers ________
A) with flawed credit histories; who did not document their incomes B) who borrowed money at rates below the prime interest rate; who had AAA credit ratings C) who purchased homes in depressed housing markets; who purchased homes which were repossessed by government agencies D) who borrowed more than 120 percent of the value of the house; with no proof of U.S. citizenship
A commonly-used gauge of poverty is the
a. income inequality rate. b. average income rate. c. poverty rate. d. social inequality rate.
The prime objective of an industrial policy for any country is to secure leading global role for selected domestic industries
Indicate whether the statement is true or false
Financial instruments and money share which of the following characteristics?
A. Both can function by acting as a means of payment and allow for trading of risk. B. Both can function as a means of payment and a store of value. C. Both can function as a store of value even though they do not allow for trading of risk. D. Both can function as a store of value and allow for trading of risk.