If the price of monthly satellite TV service increases from $40 to $50, the percentage change is:

A. 5 percent.
B. 20 percent.
C. 25 percent.
D. 45 percent.


Answer: C

Economics

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In general economic environments that correspond to lower levels of planned aggregate expenditure for a given level of Y have PAE curves that are:

A. higher on the expenditure diagram. B. lower on the expenditure diagram. C. at multiple points on the diagram. D. equivalent at point in the diagram.

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If the firms in a market reach an agreement about pricing and output shares, we would call this

A. a cartel. B. a dominant strategy. C. a Nash equilibrium. D. a duopoly.

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A monopsonist is a firm which

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Economics