Changes in leading indicators signal
A. the changes in the frictional and seasonal unemployment rate.
B. the changes in the frictional unemployment rate and the changes in the inflation rate.
C. the changes in the market basket.
D. the changes that will occur in the economy.
Answer: D
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Suppose Acme and Mega produce and sell identical products and face zero marginal and average cost. Below is the market demand curve for their product. 
Suppose Acme and Mega decide to collude and work together as a monopolist with each firm producing half the quantity demanded by the market at the monopoly price. If Mega cheats on the agreement by reducing its price to $1 while Acme continues to comply with the collusive agreement, then Mega's economic profit will be ________.
A. $200 B. $150 C. $100 D. $75
Anti-depressants Roche developed a treatment for a rare form of depression that kept patients feeling fine and kept them functioning normally. Sufferers greatly preferred this treatment over alternatives that would tend to put them into a near-catatonic
stupor. However, for a subset of the population with high levels of a certain enzyme, the drug could cause permanent damage and death. So Roche required regular blood tests, and refused to sell to any patients who's levels of this enzyme became elevated. Many blood labs sued to be allowed to perform these blood tests. Why was Roche reluctant to allow third-party blood tests?
The neighborhood ice cream shop finds that when it charges $3 per ice cream cone, its total revenues are $90,000 . It has total variable costs of $30,000 and total fixed costs of $40,000 . From this we can infer the
a. shop should be moved because the rent is too high b. price is less than average total cost c. economic profits are $20,000 d. shop will be closed in the long run e. shop sells 10,000 ice cream cones
A monopolistic competitor can expect to earn an economic profit in the long run.
Answer the following statement true (T) or false (F)