Given the scenario described, if the market price of hammers increased from $8 to $11:
Assume there are three hardware stores, each willing to sell one standard model hammer in a given time period. House Depot can offer their hammer for a minimum of $7. Lace Hardware can offer the hammer for a minimum of $10. Bob's Hardware store can offer the hammer at a minimum price of $13.
A. total producer surplus would increase by $3.
B. total producer surplus would increase by $6.
C. total producer surplus would increase by $9.
D. total producer surplus would increase by $4.
D. total producer surplus would increase by $4.
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Which of the following is an important difference between government and privately-owned enterprises?
A) Government can distribute goods without employing discriminatory rationing criteria. B) Government can more easily use negative incentives to obtain resources. C) Government does not produce exchangeable commodities or services. D) Government provides services at a lower opportunity cost. E) Government tends to pay close attention to the varying preferences of the people.
Which of the following best describes the foreign exchange market? It is a market where one country's
a. exports are traded for another country's imports b. currency is traded for that of another c. goods are traded for another country's services d. imports are traded for another country's exports e. services are traded for another country's goods
Describe the advantages that a negative income tax has over other programs designed to aid the poor
GDP measures how many goods and services are produced but says nothing about whether the quality of life has improved
a. True b. False Indicate whether the statement is true or false