Suppose a market has only one seller and only one buyer of a good in the market. The buyer is willing to pay $50 for the good and the seller is willing to accept $15. The market price of the good is determined at $30
If they trade, the social surplus will be ________. A) $15
B) $35
C) $45
D) $65
B
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Refer to Figure 7.1. At output level Q3
A) average fixed cost reaches its minimum. B) average total cost reaches its minimum. C) average variable cost reaches its minimum. D) marginal cost reaches its minimum. E) all of the above
Profit-sharing plans, where employees receive bonuses in proportion to the company's profits,
a. reduce the principal-agent problem. b. are intended to reduce the number of employees who are residual claimants. c. eliminate shirking problems. d. are essentially gifts to employees and do not generate any benefit for the firm's owners.
Refer to the following graph to answer the question:
The price elasticity of demand over the price interval $90 to $110 is
A. -2.0 B. -1.0 C. -0.5 D. -1.5 E. -0.4
List three distinct types of resources
What will be an ideal response?