As the price paid to a resource increases,
a. the supply of that resource will increase in the resource market
b. the supply of that resource will decrease in the resource market
c. resources will shift from other resource markets to this one
d. resources will shift from this resource market to others
e. resource usage will be unaffected
C
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The cost of waiting two months for health care to address a debilitating problem in Canada is most accurately described as
A) an explicit cost. B) an accounting cost. C) no real cost. D) an opportunity cost.
Suppose the market demand for milk is Qd = 150 - 5P. Additionally, suppose that a dairy's variable costs are VC = 2Q2 (where Q is the number of gallons of milk produced each day), its marginal cost is MC = 4Q and there is an avoidable fixed cost of $50 per day. In the long run there is free entry into the market. What is the market equilibrium quantity?
A. 5 gallons per day B. 35 gallons per day C. 50 gallons per day D. 100 gallons per day
Which of the following statements is most correct?
A. All financial intermediaries are insurance companies. B. All banks are financial intermediaries, but not all financial intermediaries are banks. C. Financial intermediaries must be public corporations. D. Financial intermediaries are government agencies.
Whenever the absolute value of the price elasticity of demand is greater than 1, but less than infinite
A) demand is inelastic. B) demand is unit elastic. C) demand is elastic. D) demand is perfectly elastic.