Many economics argue that resale price maintenance ?

A. Has a legitimate purpose of stopping discount retailers from free riding on the services provided by full services retailers?
B. Is price fixing and, therefore is prohibited by law
C. Is price fixing and therefore, is prohibited by law and enhances the market power of the producer
D. Enhances the market power of the producer

Suppose that ABC publishing sells an economics textbook and accompanying study guide. Raheel is willing to pay Rs75 for the text and Rs15 for the study guide. Mariam is willing to spend Rs60 for the text and Rs25 for the study guide. Suppose both the book and study guide have a zero-marginal cost of study production. If ABC publishing charges separate price for both products its best strategy is to charge price that when combined, total ?

A. Rs 85
B. Rs 75
C. Rs 80
D. Rs 60

A model of Game theory of oligopoly is known as the ?

A. Prisoner’s dilemma
B. Monopoly cell
C. Jailhouses sentences
D. Jury box

A market structure in which many firms sell products that are similar but not identical is known as ?

A. Monopolistic competition
B. Monopoly
C. Perfect competition
D. Oligopoly

Suppose an oligopolist individually maximizes its profits. When calculating profits, if the output effect exceeds the price effect on the marginal unit of production, then the oligopolist ?

A. Should produce more units
B. Has maximized profits.
C. Is in a nash equilibrium
D. Should produce fewer units

When an oligopolist individually chooses its level of production to maximize its profits, it produces an output that is ?

A. More than the level produced by a monopoly and less than the level produced by a competitive market
B. Less than the level produced by a monopoly and more than the level produced by a competitive market
C. Less than the level produce by either monopoly or a competitive market
D. More than the level produced by either monopoly or a competitive market

As the number of sellers in an oligopoly increases ?

A. Output in the market tends to fall because each firm must cut back on production
B. The price in the market moves further from marginal cost
C. Collusion is more likely to occur because a larger number of firms can place pressure on any firm that defects
D. The price in the market moves closer to marginal cost

Suppose that ABC publishing sells an economics textbook and accompanying study guide. Raheel is willing to pay Rs75 for the text and Rs15 for the study guide. Mariam is willing to spend Rs60 for the text and Rs25 for the study guide. Suppose both the book and study guide have a zero marginal cost of study production. If ABC publishing engages in tying the two products its best strategy is to charge a combined price of ?

A. Rs 60
B. Rs 90
C. Rs 85
D. Rs 75

Laws that make it illegal for firms to conspire to raise prices or reduce production are known as ?

A. antimonopoly laws
B. all of these answers
C. anti-collusion laws
D. pro-competition laws

In a cartel member firms may be given a fixed amount to produce. This is called a ?

A. Limit
B. Factor
C. Quota
D. Quotient