Opportunistic behavior by oligopolies means
A) that firms cooperate in both the long run and in the short run to prevent others from entering the industry.
B) that firms cooperate in the short run for current gains.
C) that firms refuse to cooperate in the short run.
D) that firms refuse to honor their product guarantees.
B
You might also like to view...
How have depository institutions made innovations that have influenced the composition of money?
What will be an ideal response?
Monopolistically competitive firms ignore the effect of their decisions upon other firms in the industry because
a. each firm is large relative to the market b. each firm is small relative to the market c. there are few sellers in the market d. there is only one seller in the market e. all firms follow the same known pricing rules
A tax has an excess burden whenever
a. people are unable to alter their behavior to avoid paying it. b. government seeks to raise it. c. it raises a great deal of revenue. d. it induces people to change their behavior.
If there is a floor on wages created by a minimum wage, union contracts, or other factors, then a decline in the marginal productivity of low-skilled workers will ________ the demand for low-skilled workers and ________ the number of unemployed workers.
A. increase; increase B. decrease; decrease C. increase; decrease D. decrease; increase