Why is oligopoly more difficult to model than competition or monopoly?
Oligopolistic firms make interdependent decisions based on what they think other firms will do. Many models of oligopoly exist depending on the choice of interdependence. Also, there is little guidance on which model is most precise for a particular situation.
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In 1966, the Catholic Church eliminated the centuries-old requirement that members abstain from eating meat on Fridays. Catholics customarily ate fish on Friday. Following this removal, there was a 12.5 percent fall in prices of fresh fish. From this, it can be deduced that the
A. demand curve for fish shifted to the left. B. demand curve shifted to the right. C. supply curve shifted to the left. D. supply curve shifted to the right.
________ cost is defined as a cost of production that does not entail a direct money payment
A) An explicit B) An implicit C) A total D) A fixed E) A marginal
If firms in a competitive market are NOT identical, then the long-run market supply curve will be
A) horizontal. B) upward sloping. C) downward sloping. D) undetermined.
The level of aggregate expenditure in the private closed Economy is determined by the
A) expenditures of consumers and businesses. B) intersection of the saving schedule and the 45-degree line. C) equality of the MPC and MPS. D) intersection of the saving and consumption schedules.