Total surplus
a. can be used to measure a market's efficiency.
b. is the sum of consumer and producer surplus.
c. is the value to buyers minus the cost to sellers.
d. All of the above are correct.
d
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When deciding whether the economy has entered an economic recession, the NBER's Business Cycle Dating Committee examines and compares the behavior of various measures of broad activity
The measures the committee focuses on include all of the following except A) real GDP measured on the product and income sides. B) production data for specific, individual industries. C) economy-wide employment. D) real income.
Since the 1960's, consumer spending in the U.S. has been approximately ________ percent of disposable income, whereas saving has been approximately ________ percent of disposable income
a. 30; 70 b. 50; 50 c. 65; 35 d. 90; 10
A socially optimal price:
A) maximizes consumer surplus and minimizes producer surplus. B) maximizes producer surplus and minimizes consumer surplus. C) maximizes total surplus. D) maximizes deadweight loss.
The firm in the above figure breaks even when market price is
A) H. B) E. C) I. D) G.