When firms in the same industry locate in the same geographic region, it is known as dumping.

When firms in the same industry locate in the same geographic region, it is known as dumping.
 a. True
  b. False
  Indicate whether the statement is true or false

QUESTION 2

The emergence of mortgage-backed securities provided mortgage brokers with an incentive to seek out only the most creditworthy borrowers.
 a. True
  b. False
  Indicate whether the statement is true or false

QUESTION 3

Under fair-return pricing, a regulated natural monopoly will earn zero economic profit.
 a. True
  b. False
  Indicate whether the statement is true or false

QUESTION 4

Industrial policy involves governments using taxes, subsidies, and regulations to nurture the development of specific industries.
 a. True
  b. False
  Indicate whether the statement is true or false

QUESTION 5

The emergence of the subprime mortgage market following the recession of 2001 set off a boom in the housing industry.
 a. True
  b. False
  Indicate whether the statement is true or false

QUESTION 6

It is not possible for a regulated public utility to earn economic profits in the short run.
 a. True
  b. False
  Indicate whether the statement is true or false