If a monopolist pays a lobbyist to protect its government-created monopoly, which of the following will happen?
a. Monopoly profits will increase.
b. Consumers will have more surplus.
c. Monopoly profits will decrease.
d. Society will have less deadweight loss.
c. Monopoly profits will decrease.
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Under the system of "township planning"
a. no one could own land that had not been previously surveyed. b. settlers chose their own plots of land, under the supervision of a county surveyor. c. legal descriptions of property made reference to permanent natural objects. d. gaps between unsettled and settled land were encouraged.
The benefits to specialization are even greater when two trading partners have:
A. absolute advantages in producing the same goods. B. large differences in opportunity costs. C. very similar opportunity costs. D. similar consumption preferences.
For a linear and upward sloping supply curve and a linear downward sloping demand curve, when the consumer has to pay a positive price for the good, the producer surplus is a
A. triangle. B. rectangle. C. four-sided figure that is a rectangle on the bottom and a right triangle on the top whose hypotenuse is the demand curve. D. four-sided figure that is a rectangle on the bottom and a right triangle on the top whose hypotenuse is the supply curve.
The slope of a straight line:
A. is constant. B. is negative. C. is zero. D. changes along the curve.