Under current guidelines, the Federal Trade Commission will likely challenge
A) all mergers if the Herfindahl-Hirschman index (HHI) is 2500 or higher.
B) a merger if the HHI is 2500 or higher and the merger increases the HHI by more than 200 points.
C) a merger if the HHI is 2500 or higher and the merger increases the HHI by more than 50 points.
D) a merger if the HHI is 1500 or higher and the merger increases the HHI by more than 300 points.
B
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Which of the following is NOT a feature of a common market?
A) Substantial coordination of macroeconomic policies among the members B) Free trade in goods and services between the members C) Common external barriers to trade D) Factor mobility
Successful advertising by a monopolist will
a. reduce the gap between the monopoly and competitive output. b. increase the gap between the monopoly and competitive output. c. cause the monopolist to overproduce. d. cause the monopolist to decrease output.