Suppose that the DeBeers company faces very little competition from other firms in the wholesale diamond market. Why isn't the price of wholesale diamonds $10,000 per carat?
a. because the government would not allow such a high price
b. because stockholders would not allow such a high price
c. because the company would sell so few diamonds that it would earn higher profits by selling at a lower price
d. All of the above are correct.
c
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In June 2012, the U.S. labor force consisted of 142,415,000 employed and 12,749,000 unemployed. The U.S. unemployment rate for June 2012 was about
A) 7.4 percent. B) 8.2 percent. C) 9.0 percent. D) 11.2 percent.
Spending on consumer durables decreases as the interest rate increases
Indicate whether the statement is true or false
The law of demand is illustrated by a demand curve that is:
A. horizontal. B. downward-sloping. C. vertical. D. upward-sloping.
If two bundles are on the same indifference curve, then
A) the consumer derives the same level of utility from each. B) the consumer derives the same level of ordinal utility from each but not the same level of cardinal utility. C) no comparison can be made between the two bundles since utility cannot really be measured. D) B and C.