The price system always works instantaneously
Indicate whether the statement is true or false
FALSE
You might also like to view...
Kate and Alice are small-town ready-mix concrete duopolists. The market demand function is Qd = 20,000 - 200P, where P is the price of a cubic yard of concrete and Qd is the number of cubic yards demanded per year. Marginal cost is $80 per cubic yard. The Cournot model describes the competition in this market. Which of the following gives Kate's best response function?
A. QK = 200 - 0.01QK B. QK = 100 - 0.005QA C. QK = 2,000 - 0.5QK D. QK = 2,000 - 0.5QA
A new cure for Toenail fungus is discovered for individuals resistant to the original treatment. At this point the firm producing this drug
a. Could be considered a monopoly b. Would be protected from entry by patents c. Would be facing many new entries in the market d. Only A&B
According to economists, changes in the quality of goods
a. leads to overestimates of the measured value of GDP because these goods last for shorter amounts of time b. leads to underestimates of the measured value of GDP because these goods last for shorter amounts of time c. leads to overestimates of the measured value of GDP because these goods last for longer amounts of time d. have no effect on the measured value of GDP e. leads to underestimates of the measured value of GDP because these goods last for longer amounts of time
Suppose that Tom bought a bike from Helen for $195. If Helen's reservation price was $185, and Tom's reservation price was $215, the buyer's surplus from this transaction was:
A. $10 B. $20 C. $215 D. $195