The ability of banks to get insurance from ______________ encourages banks to take on a little bit _________ risk than they would in the absence of deposit insurance

A) the FDIC; less
B) Fannie Mae (FNMA); more
C) the FDIC; more
D) Fannie Mae (FNMA); less


C

Economics

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With price discrimination, a monopoly

A) converts consumer surplus into economic profit. B) converts producer surplus into economic profit. C) can charge a single price to all customers. D) produces less output than if it does not price discriminate. E) converts consumer surplus into deadweight loss.

Economics

In July 2008, the Federal Communications Commission approved the merger of satellite radio providers XM Satellite and Sirius Satellite Radio, establishing a single satellite radio company in America. The deal is tough for many to swallow

"We continue to believe that consumers are best served by competition rather than monopolies," said National Association of Broadcasters Vice President Dennis Wharton. What does Wharton argue? A) Producer surplus is greater with competition. B) Total surplus is greater with a monopoly. C) Consumer surplus is greater with competition. D) Prices are lower with a monopoly.

Economics

At a farmer’s market, tomatoes are priced at $4 per pound. Most customers offer $2 per pound, but eventually buy them for $3 per pound. In this case, $3 per pound represents ______.

a. market price b. consumer surplus c. producer surplus d. deadweight price

Economics

Refer to the graph. The combination of 4 units of drill presses and 2 units of bread is:

A. attainable, but represents an economy not achieving full employment or full production. B. attainable and efficient. C. unattainable given available resources and technology. D. attainable if the economy becomes more efficient in allocating resources.

Economics