What is willingness to pay?
a. The maximum amount a buyer is willing to pay minus the minimum amount a seller is willing to accept.
b. A measure of the value that a buyer places on a good.
c. The amount a seller actually receives for a good minus the minimum amount the seller is willing to accept.
d. The amount a buyer is willing to pay for a good minus the amount the buyer actually pays for it.
b. A measure of the value that a buyer places on a good.
You might also like to view...
Which of the following is not considered a unilateral transfer?
a. foreign aid from one government to another b. income earned from foreign investments c. personal gifts to friends in foreign countries d. donations to foreign countries from non-government domestic charities e. government transfers to foreign residents
If actual real GDP is greater than the equilibrium level of real GDP (i.e., the aggregate expenditures function is below the 45-degree line), what happens to restore equilibrium to the economy?
What will be an ideal response?
In 2003, the WTO ruled that U.S. tariffs on ________ were unfair and allowed retaliatory tariffs on U.S. products.
A. diamonds imported from South Africa B. beef imported from Argentina C. steel imported from the EU D. automobiles imported from Japan
If wages for a certain type of labor were higher in one market than in another, then
A) the differential would exist into the long run. B) labor would move from the high wage market to the low wage market until wages were equal. C) labor would move from the low wage market to the high wage market until wages were equal. D) firms would not be acting as profit maximizers.