The World View article on the rise in gold prices indicates that
A. The law of supply is not really relevant to the article.
B. The law of supply is true because as the price of gold rises, the quantity supplied of gold actually falls.
C. The law of supply is true: as the price of gold rises, miners around the world search for new deposits of gold.
D. The quantity supplied falls when the price of gold rises.
Answer: C
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Consider the demand curves for soft drinks shown in the figure above. Moving from point a to point c means that
A) the marginal benefit of each additional soft drink falls. B) the opportunity cost of another soft drink increases. C) people's incomes have decreased. D) the price of a soft drink has increased.
The demand for labor is downward-sloping because of
A. Falling MC. B. Rising P. C. Rising MPP. D. Diminishing returns to labor.
Based on data from 2016, which of the following countries has the lowest tax burden?
A. The United Kingdom B. The United States C. Italy D. Sweden
Oligopoly differs from perfect competition and monopolistic competition in that
A) demand and marginal revenue curves are more useful for analyzing oligopoly than they are for analyzing perfect competition and monopolistic competition. B) the concentration ratios of oligopoly industries are lower than they are for perfectly competitive and monopolistically competitive industries. C) barriers to entry are lower in oligopoly industries than they are in perfectly competitive and monopolistically competitive industries. D) because oligopoly firms often react when other firms in their industry change their prices, it is difficult to know what the oligopolist's demand curve looks like.