Each point on a demand curve shows
A) the consumer surplus received from purchasing a given quantity of a product.
B) the legally determined maximum price that sellers may charge for a given quantity of a product.
C) the willingness of consumers to purchase a product at different prices.
D) the economic surplus received from purchasing a given quantity of a product.
C
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Which of the following market structures describes an industry in which a group of firms formally agree to control prices and output of a product?
a. Perfect competition. b. Monopoly. c. Oligopoly. d. Cartel. e. Monopolistic competition.
The benefits-received principle of taxation is most evident in:
a. progressive tax rates. b. excise taxes on gasoline. c. the personal income tax. d. the corporate income tax.
Assuming that the demand and supply of a good have moved in the same direction, and by the same amount, the new equilibrium would represent: no change in price and an increase in quantity exchanged. a. an increase in price and an increase in quantity exchanged
b. no change in price and an increase in quantity exchanged. c. a decrease in price and a decrease in quantity exchanged. d. no change in price, and an indeterminate change in quantity exchanged.
Which of the following is an example of political action that reflects the shortsightedness effect?
a. budget surpluses b. the promise of future benefits without providing for their funding c. spending on roads and highways d. spending on programs that transfer income from the rich to the poor