The benefit of a subsidy accrues mostly to consumers
A) in every instance.
B) if Ed/Es is large.
C) if Ed/Es is small.
D) if Ed and Es are equal.
E) in no instance.
C
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The labor force is defined as the number of
A) people who are working. B) union members who are working. C) people who are working in labor-type jobs. D) employed plus the number of unemployed.
Suppose demand for a good is QD = 100 - P and supply is QS = -20 + P. Suppose that a nationwide quota (of 20) is enforced so that more can be used in a war effort. What is the price?
a. 20 b. 40 c. 60 d. 80
The monopolist's outcome in the long run differs from that of the perfectly competitive firm in that it:
A. has zero profits in the long run. B. charges a price above average total costs. C. charges a price where marginal costs equal average revenue. D. charges a price equal to MC.
Suppose we can represent Brandon's preferences for water with an expected utility function U(WR, WD) = (1/4)?WR + (3/4)?WD, where WD represents a quantity of water during a drought and WR represents a quantity of water in a rainy season. Brandon is:
A. risk averse. B. risk neutral. C. risk loving. D. There is not enough information to answer this question.