Assume a competitive market is in equilibrium. There is an increase in demand, but no change in supply. As a result, the equilibrium price ________, and the equilibrium quantity ________
A) rises; increases
B) falls; increases
C) falls; decreases
D) falls; does not change
E) rises; does not change
A
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Many economists criticize monopolists because they produce at output levels that are not efficient, that is to say, monopolists
a. charge too high a price b. don't innovate c. produce a large quantity of waste d. usually don't produce at their minimum ATC e. may be profit conscious but they don't realize that maximum profit means maximum efficiency
Why does anyone demand foreign currency?
a. international trade in goods and services b. international trade in financial assets c. purchases of physical assets overseas d. All of the above are correct.
A natural monopoly has economies of scale for most if not all of its range of output
a. True b. False Indicate whether the statement is true or false
Which of the following results if at a particular price level, the aggregate quantity supplied exceeds the aggregate quantity demanded?
A. Aggregate demand shifts to the right. B. A surplus causes the price level to fall. C. Aggregate supply shifts to the left. D. A surplus causes the price level to rise.