When a country imposes tariffs, it is likely to cause
A. Lower prices for domestic production.
B. Increased quantities of imports.
C. Higher prices for the import-competing goods both domestically and abroad.
D. Less expensive exports.
Answer: C
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Refer to the table above. What is the firm's marginal cost when it produces 55 units of the good?
A) $0.33 B) $0.50 C) $0.66 D) $0.75
If you look for a job for eighteen months after graduation, but fail to generate an offer, even after lowering your expectations, the economy is probably in the business cycle phase called a:
a. recession. b. peak. c. boom. d. recovery. e. trough.
Which of the following is not a result of a U.S. tariff on foreign autos?
a. increase the price of imported autos b. increase the price of domestic autos c. decrease the quantity of foreign autos purchased by U.S. consumers d. decrease the quantity of domestic autos purchased by U.S. consumers
When the relative price of a good decreases, consumers respond by buying
a. a larger quantity of that good and a larger quantity of substitutes for that good. b. a larger quantity of that good and a smaller quantity of substitutes for that good. c. a smaller quantity of that good and a larger quantity of substitutes for that good. d. a smaller quantity of that good and a smaller quantity of substitutes for that good.