The equilibrium quantity in a perfectly competitive market is determined:
A) at the point of intersection of the demand curve and the quantity axis.
B) at the point of intersection of the demand and supply curves.
C) at the point of intersection of the supply curve and the quantity axis.
D) at the point of tangency between the demand and supply curves.
B
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Price discrimination always harms consumers
a. True. b. False.
The impact of monetary policy on prices and output depends on the
A. regulations passed by Congress. B. cooperation from business leaders. C. slope of the aggregate demand curve. D. slope of the aggregate supply curve.
In general, in the short run, the supply curve of a purely competitive firm is:
A. the rising portion of the average-total-cost (ATC) curve. B. the rising portion of the marginal cost curve above the AVC curve. C. identical to the marginal cost curve. D. a horizontal line equal to the market price.
An individual is endowed with $100 of income in period 1, and will receive an income of 121 in period 2. The interest rate is 10%, and there are only 2 periods. The maximum first period consumption consistent with the intertemporal budget constraint is
a) 100 b) 110 c) 121 d) 210 e) 221