As the ratio of price to marginal cost decreases, the Lerner index
A) stays the same.
B) increases.
C) decreases.
D) can increase or decrease depending upon the shape of the demand curve.
C
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Banks that operate under Islamic law are no longer considered intermediaries between borrowers and lenders because they are not allowed to charge interest
a. True b. False Indicate whether the statement is true or false
Which of the following is not correct?
a. When a union is present in a labor market, wages may not be determined by the equilibrium of supply and demand. b. Like any cartel, a union is a group of sellers acting together in the hope of exerting their joint market power. c. When unions raise wages above equilibrium, the quantity of labor supplied decreases, and the quantity of labor demanded increases. d. Most workers in the U.S. economy are not members of a union.