Which two factors make regulating mergers complicated? a. first, firms may lobby government officials to influence their decision to approve the merger. second, by the time the government officials reach a decision regarding the merger, the firms often decide not to merge. b. first, the time it takes to reach a decision to approve a merger is so long that the firms often have new owners and managers. second, by law, government officials are not allowed to consider the impact of foreign trade (exports and imports) on the degree of competition in the markets of the merged firms. c. first, the federal trade commission and the antitrust division of the u. s. department of justice must both approve mergers. second the concentration ratios that are used to evaluate the degree of competition the merged firms face are flawed. d. first, it is not always clear what market firms are in. second, the newly merged firm might be more efficient than the merging firms were individually.

Why is the cournot equilibrium an​ equilibrium? a. there are​ short-run barriers to exit in a cournot​ duopoly, so both firms cannot alter their output levels. b. given the other​ firm's level of​ production, both firms are maximizing profits and cannot improve their situation by unilaterally altering their level of output. c. both firms operate at zero profit under a cournot​ equilibrium, so they would face negative profits if they change output. d. both firms operate at minimum​ long-run average cost under a cournot​ equilibrium, so changes to output would reduce​ long-run profits. even if they​ can't collude, why​ don't firms set their outputs at the joint​ profit-maximizing levels​ (i.e., the levels they would have chosen had they​ colluded)? a. given that other firm produces at the collusive​ level, a firm could increase their own profits by increasing output above the collusive level. b. the midpoint of the collusion curve​ (i.e., the collusive​ outcome) lies below the reaction​ curves, so both firms have an incentive to increase output under the cournot duopoly. c. both a and b are correct d. both a and b are incorrect