Idiosyncratic error is the error that occurs due to _____.
A. incorrect measurement of an economic variable
B. unobserved factors that affect the dependent variable and change over time
C. unobserved factors that affect the dependent variable and do not change over time
D. correlation between the independent variables
Answer: B
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Among the key ingredients that propelled the American economy to emerge as the leading industrial power by the beginning of World War I were
A. the world's first universal public education system. B. a large agricultural surplus. C. entrepreneurial abilities of great industrialists. D. all of the choices are true.
In the short run, a firm should shut down its operation if:
a. its losses are less than TFC at the MR = MC point. b. its losses equal TFC at the MR = MC point. c. its losses are greater than TFC at the MR = MC point. d. TR is less than TC. e. TR exceeds TVC.
Which of the following practices is prohibited by the Clayton Act?
a. Price discrimination that substantially lessens competition. b. Tying contracts that substantially lessen competition. c. Exclusive dealing that substantially lessens competition. d. All of these.
A shortage results from a current price being below the equilibrium price.
a. true b. false