An increase in the price of electricity, ceteris paribus, indicates that
A. inflation is increasing.
B. electricity is relatively more scarce than it was before.
C. the purchasing power of money is decreasing.
D. the purchasing power of money is increasing.
Answer: B
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Use the following graph to answer the next question.
If the government regulated the pure monopoly and made it set a normal profit price, what price and quantity of output levels would we observe in the short run?
A. P1 and Q1 B. P2 and Q3 C. P3 and Q2 D. P4 and Q1
Management structures that include money market funds and bond funds in addition to stock funds are known as
A) exchange-traded funds. B) dealers. C) brokers. D) families of mutual funds.
For a profit-maximizing monopolistically competitive firm, price exceeds marginal cost in
a. the short run but not in the long run. b. the long run but not in the short run. c. both the short run and the long run. d. neither the short run nor the long run.
When a real estate agent says the three most important factors when buying a property are "location, location, location," the agent is referring to one of the forms of _____.
(A) Oligopoly (B) Collusion (C) Nonprice competition (D) Monopolistic competition