When a perfectly competitive, well-functioning market is in equilibrium:
A. consumer surplus is minimized.
B. producer surplus is minimized.
C. total surplus is maximized.
D. total surplus is zero.
C. total surplus is maximized.
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Marginal productivity is
a. The total output associated with total inputs b. The total output associated with extra inputs c. The extra output associated with total inputs d. The extra output associated with extra inputs
Research estimates that the medical spending for obesity-related diseases was
a. About the same as for healthy individuals. b. Ironically, much less than for healthy individuals. c. about $86 billion. d. about 9.1% of total medical spending. e. both c and d.
In order to calculate the real interest rate, simply:
A. add the rate of inflation to the nominal interest rate. B. divide the nominal interest earned by the rate of inflation. C. subtract the rate of inflation from the nominal interest rate. D. subtract the nominal interest rate from the rate of inflation.
As the price of an existing bond increases,
A. The current yield decreases. B. There is increased risk that the U.S. Treasury will default on the bond. C. The coupon rate decreases. D. The par value decreases.