When a competitive equilibrium is achieved in a market
A) the total net benefit to society is maximized.
B) the total benefits to consumers are equal to the total benefits to producers.
C) economic surplus equals the deadweight loss.
D) all individuals are better off than they would be if a price ceiling or price floor was imposed by government.
A
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To determine the change in the capital stock, the level of new investment must be adjusted for depreciation because some new investment
A) is not used immediately. B) replaces existing workers. C) is more efficient than existing capital. D) merely replaces existing, but worn out, capital.
Which standard states that "the owner is entitled to receive 'what a willing buyer would pay in cash to a willing seller' at the time of the taking"?
A) the comparable sales method B) just compensation C) fair market value D) the equitable transactions cost method
Refer to Figure 12.4. The implementation of corrective policy by the central bank is designed to move the economy from
A) point A to point B. B) point B to point D. C) point D to point C. D) point C to point A.
Which of the following is most important if the living standards of people residing in a country are going to improve?
a. growth of population b. growth of per capita GDP c. growth of the money supply d. growth of government expenditures as a share of GDP