Refer to Scenario 12.3. What will be the price of this new drink in the long run if the industry is a Stackelberg duopoly?

The table above lists the market shares of the twenty makers of personal computers. The four-firm concentration ratio tells us that

A) the four largest firms have 20 percent of the market. B) there are no barriers to entry in this market. C) the firms sell differentiated products. D) all firms sell identical products.

An increase in the marginal propensity to import will cause

A) the ZZ line to become flatter and a given change in government spending (G) to have a larger effect on domestic output. B) the ZZ line to become flatter and a given change in government spending (G) to have a smaller effect on domestic output. C) the ZZ line to become steeper and a given change in government spending (G) to have a larger effect on domestic output. D) the ZZ line to become steeper and a given change in government spending (G) to have a smaller effect on domestic output.