In the Hotelling model, firms can avoid price competition by differentiating their products. Indicate whether the statement is true or false ANSWER T The firms can locate at the ends of the Hotelling’s Main Street, so their prices have small rather than large effects on their competition for sales.
Date: September 9th, 2020
The Drug Price Competition and Patent Term Restoration Act of 1984 fostered competition from generic drugs by facilitating their approval. Indicate whether the statement is true or false ANSWER T The Act eliminated duplication of the original drug approval process and replaced it with a requirement to show equivalence, which could be done and […]
Date: September 9th, 2020
Economies of scale can interfere with competition. Indicate whether the statement is true or false ANSWER T Economies of scale can limit the number of firms in a market, and thus competition among them.
Date: September 9th, 2020
Needs and wants are different. Wants are things that are: a. Crucial, have to have b. Desired, but not necessary for survival c. Economic only d. Important for getting ahead ANSWER B
Date: September 9th, 2020
Information that returns to the system is known as: a. Genomes b. E-innovation c. Listening d. Feedback ANSWER D
Date: September 9th, 2020
Imperfect information can be an entry barrier. Indicate whether the statement is true or false ANSWER T A perfectly able firm that has no history may be kept from winning needed financial backing by the costs of informing investors about its promising prospects.
Date: September 9th, 2020
______ are end results that require action. a. Goals b. Attitudes c. Values d. Problems ANSWER A
Date: September 9th, 2020
Concentration may influence leading firm profit regardless of whether entry is easy. Indicate whether the statement is true or false ANSWER F High barriers to entry make it more likely that profits of larger firms in the industry can be higher when the industry is more concentrated.
Date: September 9th, 2020
Management ______ are measuring devices, techniques, or instruments that are used to arrive at decisions and plans of action. a. Plans b. Actuarial resources c. Quality circles d. Tools ANSWER D
Date: September 9th, 2020
When there are only two firms in a market, a Stackelburg leader will choose the monopoly output. Indicate whether the statement is true or false ANSWER T
Date: September 9th, 2020
