The above table shows the market shares for all the landscaping services in a suburban area. A merger between firms E and F would
A) raise the four-firm concentration ratio.
B) have no effect on the four-firm concentration ratio.
C) lower the four-firm concentration ratio.
D) create a monopoly.
Ques. 2In the long run, all firms in a monopolistically competitive industry make
A) negative accounting profit.
B) zero accounting profit.
C) an economic profit.
D) zero economic profit.
Ques. 3The beginning of antitrust law is found in the
A) 1914 Clayton Act.
B) 1890 Sherman Act.
C) 1947 Taft-Hartley Act.
D) 1950 Cellar-Kefauver Act.
Ques. 4For the past year, Teddy has had a part-time job at which he is willing to work 10 hours each week. During Teddy's annual review, his boss grants him an 8 percent increase in his wage.
As a result of the wage increase, Teddy is now willing to work 15 hours each week. Teddy's opportunity cost of ________ has risen and because for Teddy the substitution effect of the wage hike is ________ than the income effect. A) work; greater
B) work; less
C) leisure; greater
D) leisure; less
Ques. 5In the figure above, the redistribution from the consumers to the producer if the firm is a single-price, unregulated monopoly rather than a perfectly competitive industry is
A) zero.
B) 8.00 per day.
C) 16.00 per day.
D) 32.00 per day.
Ques. 6Describe how financial innovation has affected the demand for money.
What will be an ideal response?
Ques. 7In an unregulated market for healthcare, the equilibrium quantity is that at which ________ and the efficient quantity is that at which ________.
A) D = S; MB = MSC
B) D = S; MSB = MSC
C) D = MSC; MB = MSC
D) MSB = S; MB = S
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