Stock prices change with surprises
Indicate whether the statement is true or false
True
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Collusion is:
A. buyers acting in unison against a company in efforts to change its practices. B. the act of firms undercutting one another in competition until zero profits are earned. C. the act of firms working together to make decisions about price and quantity. D. None of these statements is true.
People are unlikely to choose to pay extra for a low-emissions automobile, because they:
A. do not fully understand the environmental benefits of lower emissions. B. are better off "free-riding" on others' attempts to reduce emissions. C. would have to sacrifice fuel efficiency and automotive performance. D. cannot afford the extra expense of "green" technology.
A regressive tax means that if someone earning $25,000 pays $5,000, someone earning $50,000 must pay
A. less than $5,000. B. more than $15,000 but less than $20,000. C. less than $10,000. D. more than $10,000 but less than $15,000.
As Sam moves rightward along his indifference curve, his marginal rate of substitution
A) is diminishing. B) is increasing. C) remains constant. D) shows the change in his income.