Equilibrium in the Labor Market

question 343

Multiple Choice

Equilibrium in the labor market

• A) cannot occur if the production function is shifting upward.
• B) occurs when actual GDP is equal to potential GDP
• C) means that resources are allocated inefficiently
• D) can happen only when real GDP exceeds potential GDP.

Recognize the impact of collusive strategies on market pricing and competition.

Understand tit-for-tat strategies and their implications for market behavior.

Identify the role of antitrust laws in preventing monopolies and maintaining competition.

Assess the consequences of advertising decisions in oligopolistic markets.