1. Decide whether each of the following statements is true or false and explain why:

a. Fast-food chains like McDonald’s, Burger King, and Wendy’s operate all over the United States. Therefore, the market for fast food is a national market.

b. People generally buy clothing in the city in which they live. Therefore, there is a clothing market in, say, Atlanta that is distinct from the clothing market in Los Angeles.

c. Some consumers strongly prefer Pepsi and some strongly prefer Coke. Therefore, there is no single market for colas.