________ refers to reductions in a firm's costs that result from an increase in the size of an industry

The inflation rate that is used to set the money wage rate and other money prices is the

A) actual inflation rate. B) cost of living inflation rate. C) natural inflation rate. D) expected inflation rate. E) wage inflation rate.

Suppose a firm that sells a variety of athletic shoes is trying to start a pattern of price leadership in its market. Which of the following is not a problem this firm might have to face?

a. Rivals recognize the intent of its actions. b. Other firms may not necessarily follow the leader. c. Other firms may not follow the leader but offer better service instead. d. Differentiation among products allows for more variation in price. e. The price leader must keep costs lower than other firms'.