University:
Bradley University
Course:
ECO 199 | Foundational Topics in Economics
Academic year:

2023
Views:

149

Pages:

2
Author:

ilikemyicons0y5

True/False – Identify if the following statements are true (T) or false (F). 1. Oligopolies consist of many small firms competing in a highly competitive market. False 2. A duopoly is a market dominated by exactly two firms. True 3. Cartels are easy to maintain because firms have no incentive to cheat. False 4. The Herfindahl-Hirschmann Index (HHI) places greater weight on firms with larger market shares. True 5. A CR4 value above 60 indicates a market with low concentration and strong competition. False 6. Vertical integration occurs when two firms at different stages of the value chain combine. True 7. Organic growth happens when a firm expands through mergers and acquisitions. False 8. Conglomerate mergers can provide economies of scope by sharing resources across industries. True 9. Game theory is used to study strategic decision-making in oligopolistic markets. True 10. The Sherman Antitrust Act was created to regulate advertising in competitive industries. False 11. The Clayton Act was designed to prevent harmful horizontal mergers. True 12. The Robinson-Patman Act prohibits all forms of price discrimination. False 13. The Celler-Kefauver Act extended antitrust laws to cover vertical mergers. True 14. A post-merger HHI below 1500 typically indicates a competitive market. True 15. Cornelius Vanderbilt built his wealth in the railroad industry. True