Author Question: When managers in oligopolistic firms make decisions that affect output or price, they must A) ... (Read 103 times)

neverstopbelieb · **on:** Jun 29, 2018

When managers in oligopolistic firms make decisions that affect output or price, they must

A) also be sure they erect barriers to entry to prevent new entrants from affecting their plans.
B) anticipate the reactions of their rivals and plan accordingly.
C) register with the Antitrust Division of the Department of Justice.
D) inform the regulators of their industry about their plans.

Question 2

What determines the proportion of a unit excise tax that will be passed on to consumers in the form of higher prices?

A) the nature of the projects funded by the tax
B) the number of additional taxes that consumers have to pay
C) the popularity of the tax
D) the degree to which quantity demanded and supplied of the good respond to price changes