Part of the Reason Welfare Programs Became So Unpopular Was

question 5

Multiple Choice

Part of the reason welfare programs became so unpopular was that

• A)many Americans came to believe that welfare recipients did not want to work.
• B)the programs were completely taken over by the federal government rather than having input from state and local governments.
• C)the programs were completely taken over by state and local governments rather than having input from the federal government.
• D)federal judges frequently ruled them to be unconstitutional.

Apply the concept of elasticity to determine the impact of price changes on total revenue.

Identify the segment of the demand curve where a firm should change its pricing strategy to increase revenue.

Distinguish between elastic, inelastic, and unit elastic demand.

Calculate the effect of price changes using the midpoint formula.

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Definitions:

Oligopolistic Competition

A market structure in which a few large firms dominate the market, with limited competition between them.

Positive Sum Game

A situation in which all participants can gain or benefit in some way, in contrast to a zero-sum game where one's gain is exactly balanced by another's loss.

Herfindahl Index

A measure used to calculate the size of firms in relation to the industry and an indicator of the amount of competition among them; higher values indicate lesser competition.

Concentration Ratio

A measure used in economics to assess the level of competition in an industry by calculating the market share of the largest firms.