In the new Keynesian models, a. imperfect competition comes is ...

[ENagel]

In the new Keynesian models,
 
  a. imperfect competition comes is the result of optimizing behavior by individuals.
  b. perfect competition is assumed with respect to the product market
  c. a natural monopoly is presumed for the product market.
  d. both a and c.
  d. None of the above

Question 2

An export industry is said to exhibit increasing returns to scale when
 
  (a) a large-scale organization has significant competitive advantages over small-scale activities.
  (b) labor utilization increases by 50 percent but export output production increases by only
  20 percent.
  (c) its small-scale business activity has significant comparative advantages over large-scale productions.
  (d) use of capital increases by 10 percent leads to an increase in export production by 10 percent.

[ktidd]

Answer to Question 1

A

Answer to Question 2

(a)

[ENagel]

Thank you

[ktidd]

Happy to help you