What is the most likely reason that milk sold in convenience stores is more expensive than milk sold in grocery stores?
A. Convenience stores sell milk in smaller packages, so the per-gallon packaging costs are higher.
B. Grocery stores buy in bulk, while convenience stores buy milk in smaller quantities.
C. People who buy milk at convenience stores tend to have a less elastic demand for milk.
D. Convenience store owners are greedier than grocery store owners.
Answer: C
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Many public utilities are permitted to operate as monopolies because they enjoy economies of large-scale production.
Answer the following statement true (T) or false (F)
The concept of utility:
A. cannot be used to explain why people are charitable. B. cannot be used to explain why people are altruistic. C. cannot be used to explain why people are selfish. D. None of these is true.
If a bank has actual reserves of $40,000 and a 20 percent reserve requirement, then the maximum amount of checkable deposits the bank can have if excess reserves are zero is:
a. $100,000. b. $80,000. c. $300,000. d. $20,000. e. $200,000.
Which of the following would NOT shift an industry's supply of labor curve?
A. Wage rates in other industries fall. B. Working conditions within the industry become less desirable. C. Wage rates in industries using similar labor rise. D. The wage rate in the particular industry falls.