Question

Which one of the following is not correct?<?xml:namespace prefix = o ns = "urn:schemas-microsoft-com:office:office" />

A) In antitrust cases defendants attempt to define the relevant market broadly.

B) The courts have varied over time in their interpretations of the antitrust statutes.

C) Antitrust suits can only be originated by the Federal Trade Commission.

D) In antitrust cases the prosecution attempts to define the relevant market narrowly

2. Which of the following is most likely to increase the 4-firm concentration ratio of a particular industry?

A) a horizontal merger between two of the industry’s largest firms

B) a vertical merger between one of an industry’s largest firms and one of the many input suppliers in the resource market.

C) a conglomerate merger involving one of the industry’s major firms

D) an agreement by all the industry firms to divide up the market among them

3. The lifetime distribution of income is more equal than the annual distribution. This statement is:

A) true, because the rich have gotten richer and the poor have gotten poorer.

B) true, because there is considerable income mobility over time.

C) false, because people tend to stay in the same income quintile over extended periods of time.

D) false, because the rich have gotten richer and the poor have gotten poorer.