When economists are critical of government regulations that prohibit free individuals from making certain kinds of contracts, for example, to purchase a good or service, they will usually invoke the concept of
a. marginal analysis.
b. mutual gains from voluntary trade.
c. inflation-unemployment trade-off.
d. the need for abstraction.
e. externalities.
b
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Suppose that Germany, France, Estonia, and India all have the same production possibilities, illustrated in the figure above. Based on the production points in the figure, which country is most likely to expand its PPF to PPF3?
A) Germany B) Estonia C) India D) France and Germany equally E) France
Explain why short-run demand for frozen fish sticks may be more price elastic in the short run than in the long run
What will be an ideal response?
Which of the following conditions define a perfectly competitive market?
a. The transaction costs are very high. b. Information is available to participants at a high cost. c. The product is homogenous. d. There are limited number of buyers and sellers.
Customer discrimination results in
A. a segregated workforce. B. lower wages for the discriminated against worker group. C. a lower output price regardless of who the firm hires. D. lower firm profits. E. All of these are results of customer discrimination.