Which of the following statements is true?
a. A vertical merger is a merger of firms that compete in the same market.
b. The rule of reason doctrine declares that the existence of monopoly alone is illegal.
c. Government regulation is economically justifiable for a natural monopoly.
d. Deficient information on unsafe products causes underconsumption.
c
You might also like to view...
When the profits of firms that produce import-competing goods and services fall, these firms ________ their workforce, unemployment in these industries ________, and wages ________
A) cut; decreases; rise B) cut; decreases; fall C) cut; increases; fall D) expand; increases; rise E) cut; increases; rise
If consumption equals $1,000 when income is $1,000 and increases to $1,900 when income increases to $2,000, then the marginal propensity to consume is
A) 0.50. B) 0.90. C) 1.00. D) 2.00.