"Crowding out" refers to federal government deficits financed by:
a. borrowing which increases interest rates and thereby reduces private spending.
b. increasing taxes which reduces private spending.
c. the federal government buying foreign debt which reduces the amount of government spending and government programs.
d. reducing government spending which reduces interest rates.
a
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In the above figure, if a single-price monopolist charges the profit-maximizing price, the triangle dce represents
A) consumer surplus. B) producer surplus. C) deadweight loss. D) marginal revenue.
The local pizza delivery industry currently has a Herfindahl-Hirschman index (HHI) value of 999 and two of the competing pizza shops have considered merging
Because the merger would raise the HHI by 55 points, the Federal Trade Commission would likely A) not challenge the merger. B) challenge the merger. C) allow the merger under the condition that HHI does not rise by more than 55 points as promised. D) allow the merger under the condition that the HHI remain at the premerger level of 999.