High concentration measures will understate the extent of competition in a market if
A) the true geographical scope of the market is global rather than national.
B) entry into the industry is easy.
C) the geographical scope of the market is regional rather than national.
D) Both answers A and B are correct.
D
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According to Nakamura and Steinsson's research, prices are ________ sticky than Bils and Klenow found because the latter failed to account for ________
A) more; sales B) more; taxes C) less; taxes D) less; sales
The short-run aggregate supply curve will shift to the left if:
a. there is a significant increase in worker productivity. b. workers on fixed-wage contracts expect higher inflation. c. the price of raw materials decreases. d. the price of capital goods rises. e. wages fall in anticipation of higher prices.
If a perfectly competitive firm experiences a permanent increase in demand, profits will become negative in the short run, and in the long run adjustment some firms would exit from the market, causing the supply curve to shift inwards
Indicate whether the statement is true or false
U.S. productivity growth rebounded in 1995-2000 largely as a result of:
A. increases in human capital. B. advances in information and communication technology. C. increased political stability. D. discoveries of new natural resources.