Which of the following is a measure of the explanatory power of the regression model? A) t-test B) R2 C) F-test D) Durbin-Watson test ANSWER B
Date: September 9th, 2020
R2 is a statistical measure which A) determines how important one variable is in explaining the value of another variable. B) tests the true value of a variable. C) determines how well an equation can estimate the relationship between one variable and a set of other variables. D) All of the above ANSWER C […]
Date: September 9th, 2020
Laws that are used to prevent firms from colluding and setting high prices are called A) anti-trust laws. B) price ceiling laws. C) anti-cartel laws. D) anti-competition policies. ANSWER A
Date: September 9th, 2020
In the U.S., one example of a cartel that is legal is A) the railroads, including Union Pacific. B) the oil industry. C) Major League Baseball. D) None, all cartels are prohibited. ANSWER C
Date: September 9th, 2020
In the mini-case on pay-for-delay A) incumbents are attempting to delay entry of generic drugs. B) the deals incumbents made with potential entrants may be illegal. C) the deals are only profitable for approximately six months. D) All of the above. ANSWER D
Date: September 9th, 2020
To be eligible for Social Security benefits, an individual must have worked for _____ quarters in a covered job. a. 30 b. 40 c. 50 d. 60 ANSWER b
Date: September 9th, 2020
If reservation prices are positively correlated, then A) pure bundling cannot increase a firm’s profit. B) pure bundling can increase a firm’s profit. C) it is unclear whether or not pure bundling can increase a firm’s profit. D) consumers lose leverage over firms. ANSWER A
Date: September 9th, 2020
Which of the following is a test of the statistical significance of the entire regression equation? A) t-test B) R2 C) F-test D) Durbin-Watson test ANSWER C
Date: September 9th, 2020
An exclusion contract A) is a form of entry deferral. B) gives a firm the right to be the exclusive provider of a good in a particular market. C) may not always be profitable for the incumbent. D) All of the above. ANSWER D
Date: September 9th, 2020
Why don’t we see firms tie-in the sales of fish filets with the sales of pencils? A) because the demands for these two goods are positively correlated B) because the demands for these two goods are negatively correlated C) because the demands for these two goods are independent D) It violates the Clean Food Act […]
Date: September 9th, 2020
