An example of a ________ would be the government setting the price of coffee below the equilibrium price.
A. black market
B. rational expenditure
C. price ceiling
D. non-income tax
Answer: C
You might also like to view...
"A market is said to be perfectly competitive when consumers can tell that some products are of better quality than others." Do you agree or disagree? Why?
What will be an ideal response?
If the minimum points of all the possible short-run average total cost curves become successively lower as quantity of output increases, then:
a. there are economies of scale. b. the firm is probably having significant management problems. c. the firm should try to produce less output. d. total fixed costs are constant along the LRAC curve.
Which country had the highest rate of technological progress from 1985 to 2013?
A) Japan B) France C) United States D) United Kingdom
Game theory reveals that
A) the equilibrium might not be the best solution for the parties involved. B) firms in oligopoly are not interdependent. C) each player looks after what is best for the industry. D) if all firms in an oligopoly take the action that maximizes their profit, then the equilibrium will have the largest possible combined profit of all the firms. E) firms in an oligopoly choose their actions without regard for what the other firms might do.