For a perfectly competitive firm, which of the following is NOT true?
A. The total revenue curve is horizontal.
B. The total revenue curve begins at the origin and slopes upward as output increases.
C. The slope of the total revenue curve is equal to the product price.
D. The average revenue curve, the demand and the marginal revenue curves are identical.
Answer: A
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Lower deductibles for employer-provided health care will tend to shift the ________ curve for medical services to the ________
A) supply; right B) demand; right C) supply; left D) demand; left
If the quantity of sunglasses supplied is represented by the supply equation QS = -60 + 4P, then to solve for the price of sunglasses, the equation would be rewritten as
A) P = 15QS + 240. B) P = 0.25QS + 15. C) P = QS - 7.5. D) P = 12 - 0.4QS.
How can an insurance company offer people a deal worth taking? Why do both the buyers and the sellers of insurance gain?
What will be an ideal response?
A year-long drought that destroys most wheat crops for the season would shift the:
A. short-run aggregate supply curve only. B. aggregate demand curve only. C. aggregate demand curve, and the short-run aggregate supply curve would shift in response. D. short-run aggregate supply curve and the long-run aggregate supply curve.