(Advanced analysis) Answer the question on the basis of the following information. The demand for commodity X is represented by the equation P = 100 - 2Q and supply by the equation P = 10 + 4Q. Refer to the given information. If demand changed from P =
100 - 2Q to P = 130 - Q, the new equilibrium price is:
A. $90.
B. $110.
C. $96.
D. $106.
Answer: D
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Always there wireless is wireless monopolist in a rural area. There are 200 customers, each of whom has a monthly demand curve for wireless minutes of Qd = 200 - 100P, where P is the per-minute price in dollars and Q is the number of wireless minutes. The marginal cost of providing the wireless service is $0.25 per minute. If Always There charges $0.50 per minute, how large of a fixed monthly fee can it charge and still persuade customers to buy their service?
A. $200 B. $150 C. $225 D. $112.50
A ban on imports, a tariff, or a quota raise the price to domestic consumers creates a deadweight loss. This loss is composed of
A) production associated loss and inefficiency loss. B) productive consumption loss and protection loss. C) consumption distortion loss and production distortion loss. D) consumer misperception loss and taxation loss.
In the long run, all costs are variable
a. True b. False Indicate whether the statement is true or false
As it relates to the political process, the principal-agent problem results from the:
A) negative externalities that are created by some policy actions. B) political rules that encourage elected officials to engage in unethical and illegal behaviour. C) paradox of voting. D)inconsistency between voters' interest in programs and politicians' interest in reelection. A