What is deadweight loss? Whose loss is it? Explain
What will be an ideal response?
Deadweight loss is the portion of consumer surplus that no one in society is able to obtain in a situation of a monopoly. It is a loss by consumers because the failure of the monopolist to produce as many units as would have been produce under perfect competition eliminates consumer surplus that otherwise would have been a benefit to consumers.
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According to the new growth theory, ________ is the factor that motivates technological change
A) diminishing returns B) random chance C) decisions about how much human capital to acquire D) profit E) the replication of activities
If more French tourists visit the Grand Canyon, what is the effect in the exchange market? a. It will increase the supply of U.S. dollars
b. It will decrease the supply of U.S. dollars. c. It will increase the demand for U.S. dollars. d. It will decrease the demand for U.S. dollars.
Which of the following is not a basic characteristic of a perfectly competitive market?
a. a large number of buyers and sellers b. significant nonprice competition among firms c. a standardized product produced by firms d. no barriers to entry e. no barriers to exit
The ______________ rate of unemployment includes frictional and structural unemployment.
a. natural b. complete c. future d. framed