Partial equilibrium is
A. exactly like general equilibrium.
B. studying only the supply side of the market.
C. studying individual markets.
D. examining the demand side of the market.
C. studying individual markets.
You might also like to view...
Answer the following statements true (T) or false (F)
1. Under conditions of perfect competition, firms sell identical products. 2. Perfect competition assumes free entry into a business or industry. 3. Under perfect competition, market price is determined by market demand and supply. 4. A prime example of perfect competition is the U.S. auto industry. 5. Under conditions of perfect competition, AR always equals MR.
Households' expenditure on goods and services are sources of revenue for the firms
a. True b. False Indicate whether the statement is true or false
The expenditure approach to GDP accounting includes:
a. consumption b. investment. c. net exports. d. all of the above.
Government failure occurs when
a. fewer public goods are produced than private goods b. more public goods are produced than private goods c. less than the socially optimal quantity of public goods is produced d. more than the socially optimal quantity of public goods is produced e. special interests emerge in the market