Figure 10-15
The economy's short-run (SRAS ) and long-run (LRAS) aggregate supply curves are shown in , along with three alternative aggregate demand curves and the accompanying equilibrium points. At which point will resource prices naturally tend to increase?
a.
A
b.
B
c.
C
d.
D
b
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Assuming that the rent ceiling is strictly enforced so that there is no black market, which of the following statements about a housing market with a rent ceiling set below the equilibrium rent is correct?
A) The rent for housing equals the ceiling rent or higher. B) There is excess supply of housing. C) The rent ceiling increases the amount of producers' surplus. D) The rent ceiling creates a deadweight loss. E) The rent ceiling enforces efficiency upon the housing market.
Serious concern for deregulation began to appear in Congress in the 1970s.
Answer the following statement true (T) or false (F)
An entrepreneur is willing to bring a supply of goods to the market if expected:
A. average total cost is greater than expected price. B. average revenue is equal to expected price. C. price and expected average total cost are equal. D. price is greater than expected average total cost.
Recall the Application about setting the price of tickets for Major League Baseball games to answer the following question(s).According to the Application, what is the reason that MLB teams are setting the price of their tickets where the marginal revenue was negative?
A. They can get additional revenue from concessions. B. MLB owners only care about popularity. C. TV revenues are way larger than ticket revenues. D. The pricing is set by the Federal Trade Commission.