Competition policy is used to reduce _____________ in markets where firms are consistently able to set price above marginal cost and earn positive economic profits.

Question 11 options:

market power

availability of substitutes

average costs

quantity produced

As opposed to the decentralized power in markets, _________ represent a concentration of economic power that allows them to make decisions and issue commands to workers.

Question 9 options:

Consumers

Governments

Employees

Firms

A lower interest rate _____________ the feasible set for borrowers and ____________ the feasible set for lenders.

Question 5 options:

increases; increases

decreases; decreases

decreases; increases

increases; decreases