Cassie's Quilts alters, reconstructs, and restores heirloom quilts. Cassie has just spent $800 purchasing, cleaning, and reconstructing an antique quilt which she expects to sell for $1,500 once she is finished. After having spent $800, Cassie discovers
that she would need some special period fabric that would cost her $200 in material and time in order to complete the task. Alternatively, she can sell the quilt "as is" now for $900. What is the marginal cost of completing the task?
A) $200
B) $500
C) $1,000
D) $1,000 plus the value of her time
Answer: A
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a. True b. False Indicate whether the statement is true or false
This graph demonstrates the domestic demand and supply for a good, as well as the world price for that good.
According to the graph shown, if this economy were an autarky, consumers would get area:
A. A in consumer surplus. B. ABCDEFG in consumer surplus. C. ABCD in consumer surplus. D. ABC in consumer surplus.
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Identify the two losses of efficiency associated with the imposition of a tariff
What will be an ideal response?