If bundle A lies on an indifference curve and bundle B lies to the right of the curve, the individual
a. prefers bundle A to bundle B.
b. prefers bundle B to bundle A.
c. enjoys bundle A and B equally.
d. must receive more of both—with bundle B.
b
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The total quantity of a good that all buyers in the market would buy at various prices at a given time is known as
a. individual demand. b. conglomerate demand. c. market demand. d. additive demand.
Which of the following is associated with the problem of hyperinflation? a. Money is in short supply
b. The value of money rises dramatically. c. The government runs out of money. d. People look for alternatives to using money. e. People start to hold on to money for long periods of time.
Exhibit 9-4 Demand and cost curves for a monopolist
?
As shown in Exhibit 9-4, in order to maximize its profit (or minimize its loss), how much output should the monopoly produce?
A. 2 units per hour. B. 4 units per hour. C. 6 units per hour. D. 8 units per hour.
Refer to the data provided in Table 9.1 below to answer the question(s) that follow.
Table 9.1
Refer to Table 9.1. If the market price is $42, then for this firm to maximize profits it should produce ________ units of output and its profits will be ________.
A. five; $70 B. six; $70 C. six; $120 D. seven; $58