Cartels are difficult to maintain in the long run because:
A. they are illegal in all industrialized countries.
B. individual members may find it profitable to cheat on agreements.
C. it is more profitable for the industry to charge a lower price and produce more output.
D. entry barriers are insignificant in oligopolistic industries.
Answer: B
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If an economy is producing at full employment, it means that:
A. there are idle resources in this economy. B. the economy is producing along its production possibilities curve. C. the economy is producing at a point that is to the left of the production possibilities curve. D. the economy is producing at a point that is to the right of the production possibilities curve.
In the poorest nations, agriculture is likely to contribute as much as ________ percent to total output.
A. 55 B. 10 C. 30 D. 85