The vertical portion of the aggregate supply curve shows that at full employment an increase in the price level will:
a. not alter the economy's full-employment real GDP.
b. increase the economy's full-employment real GDP.
c. reduce the quantity of goods and services purchasers will demand.
d. improve the overall efficiency of resource use.
a
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One goal of the European Common Market was to
a. abolish tariffs and import quotas among the member nations. b. abolish tariffs and import quotas between the member nations and the rest of the world. c. discourage the free movement of capital and labor among member nations. d. replace the North Atlantic Treaty Organization (NATO).
Which of the following is a valid effect of monopoly power?
a. Desirable effects on the distribution of wealth. b. Efficient resource allocation. c. Fostering of innovation. d. Obstacle to efficiency.
Although pollution is caused by a failure of the market, many economists believe that the best way to protect the environment is to utilize the price mechanism.
Answer the following statement true (T) or false (F)
Given the table below, what is average fixed cost when 300 units of output are produced? 
A. $500 B. $160 C. $3.00 D. $0.60 E. none of the above