If the government set a price floor at $18
A. there would be a temporary surplus, then prices would fall to equilibrium.
B. the price floor would not have any effect on this market.
C. then quantity demanded would be greater than quantity supplied.
D. there would be a permanent surplus, at least until the price floor was lifted.
B. the price floor would not have any effect on this market.
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Firms that extend credit to borrowers using funds from raised from savers are called:
A. financial intermediaries. B. stock brokers. C. bond dealers. D. central banks.
If a local fishing club spends time each year cleaning up local streams by removing trash thrown by motorists, efficiency would be improved if
A) motorists were fined and fishing club activities were taxed. B) the fishing club's activities were subsidized. C) the fishing club was taxed. D) motorists were subsidized.
Refer to Figure 5-13. The market equilibrium quantity of gasoline is ________ million gallons per month
A) 20 B) 32 C) 48 D) 56
Whom among the following was a classical economist?
A) Adam Smith B) A. C. Pigou C) David Ricardo D) all of the above