1. Which of the following statements is correct about price competition?

Group of answer choices

a. The goal of price competition is to increase your profits by driving your competitors out of business.

b. Firms engaged in price competition tend to continuously focus on how to squeeze costs lower and lower.

c. Because of the number of large oligopolies, price competition is more prevalent today than it was in the 1800s.

d. All of the above are correct.

e. Both a and b are correct.

f. Both a and c are correct.

g. Both b and c are correct.

h. None of the above is correct.

1. Which of the following statements is correct?

Group of answer choices

a. Because of the low turnover rates associated with bureaucratic control, it is normally used by firms that employ skilled workers.

b. Increases in union wages, often cause firms without unions, to raise their wages in order to ward-off unionization drives.

c. Real wages have largely stagnated since the mid 1970s. In part, this is because of the considerable decline in both the size and power of private sector unions.

d. All of the above are correct.

e. Both a and b are correct.

f. Both a and c are correct.

g. Both b and c are correct.

h. None of the above is correct.

1. Which of the following is true?

Group of answer choices

a. The MC curve (along with the MR curve) answers the question "At what level of output is the firm maximizing profits/minimizing losses?"

b. In perfect competition, the firm's supply curve is its MC curve.

c. The ATC curve (along with the AR curve) answers the question "Is the firm making profits?"

d. All of the above are correct.

e. Both a and b are correct.

f. Both a and c are correct.

g. Both b and c are correct.

h. None of the above is correct.

1. Assuming that you are currently employed, which of the following will affect the level of your fallback wage?

Group of answer choices

a. The wage you received at your previous job.

b. The expected length of unemployment, if you lose your current job.

c. The generousness of unemployment benefits.

d. All of the above are correct.

e. Both a and b are correct.

f. Both a and c are correct.

g. Both b and c are correct.

h. None of the above is correct.