"If a union is only able to organize a few of the firms in an industry, it is unlikely that the union can substantially increase the wages of its members." This statement is
a. false; unions tend to be stronger when they concentrate on only a few producers in an industry.
b. false; the demand for unionized workers will be more inelastic if only a few firms in the industry are unionized.
c. false; all unions can increase the wages of their members.
d. essentially correct.
D
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Which combination is a clear example of "joint products"?
A) Pine paneling and cherry wood B) Cherry wood and cherries C) Cherries and apples D) Apples and crackers
Using the concentration ratio to measure the degree of competition
A) may understate the degree of competition because it ignores imported goods. B) may overstate the degree of competition because it ignores imported goods. C) may overstate the degree of competition because inter-industry competition is ignored. D) may understate the degree of competition because market share changes annually.