The excess capacity theorem states that society would clearly benefit from a reduction in the number of monopolistic competitors

Which of the following business combinations likely exhibit economies of scope?

A) Banking services for individuals and banking services for other business B) Retail clothing stores and electronic (internet) clothing sales C) Hospitals that perform heart surgery and hospitals that perform cosmetic surgery D) all of the above

Which of the following is a reason behind Wal-Mart's success?

a. Absence of unionization and encouragement of merit-based promotions. b. Complete control over the market price. c. Presence of regional managers in the field rather than at headquarters. d. Centralized control and inspection over the functioning of store managers.