In the figure above, when the market is in equilibrium, total consumer surplus on all the CDs bought will be
A) greater than $30 million.
B) less than at any other price.
C) $20 million.
D) less than $15 million.
C
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A government that generates revenue mostly through an inflation tax faces the risk of:
A) rapidly falling prices. B) hyperinflation. C) mass tax evasion. D) a sudden fall in revenue.
An unexpected drop in the growth rate of the CPI should send bond prices __________ and stock prices __________
A) up; up B) up; down C) down; up D) down; down
Over the air television signals are ____________ ; television signals available through cable are
a. Public goods, public goods b. Public goods, common property resources c. Private goods, private goods d. Common property resource, private goods
The crowding-out effect is more likely to dominate the crowding-in effect when investment is relatively
a. insensitive to interest rates and to GDP. b. insensitive to interest rates but sensitive to GDP. c. sensitive to interest rates and to GDP. d. sensitive to interest rates and insensitive to GDP.