The excess supply created when governments impose a price floor is:
A. shrinking as the floor rises.
B. the difference between the old quantity supplied and new quantity demanded.
C. the difference between the new quantity supplied and the old quantity demanded.
D. the difference between the new quantity supplied and the new quantity demanded.
Answer: D
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A bowed Production Possibilities Curve (PPC) indicates
A) inefficient production. B) that the trade-off between the 2 goods is not constant. C) changing technology. D) only 1 good is always being produced.
Explain how the prisoners' dilemma can be used to examine pricing strategies in an oligopoly
What will be an ideal response?
Refer to the accompanying table. Based on their comparative advantages, Pat should specialize in ________, and Corey should specialize in ________. Pizzas Made Per HourPizzas Delivered Per HourCorey126Pat1015
A. both making pizza and delivering pizza; neither making pizza nor delivering pizza B. delivering pizza; making pizza C. making pizza; delivering pizza D. neither making pizza nor delivering pizza; both making pizza and delivering pizza
The government may not implement policies intended to redistribute income in which of the following economic systems?
A. Laissez-faire capitalism B. Command system C. Mixed economy D. Market system