11. Walmart and Target are both discount retailers. However, during the recession of 20072009, Targets samestore sales...

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11. Walmart and Target are both discount retailers. However, during the recession of 2007–2009, Target’s samestore sales fell while sales at Walmart actually increased. Examine the following statements and identify the ones that could explain this outcome. i. Walmart stocks more goods like food and health items than Target. ii. Target positions itself in the market as a low-cost retailer of home accessories and clothing. iii. Walmart’s annual revenues have, on average, been higher than Target’s annual revenues. iv. Both Target and Walmart attract a lot of pricesensitive customers. v. The unemployment level in the United States increased substantially during the recession of 2009.

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Macroeconomics

ISBN: 9780134492056

2nd Edition

Authors: Daron Acemoglu, David Laibson, John List

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