Suppose one of baseball's most ensuring records - the Pete Rose career hit total record - were on the line. Tickets to the games leading up to breaking of the record might command three times the face-value price for tickets. Economists would suggest that a scalping market would appear and it
A. would make all ticket holders and potential buys worse off.
B. cause the price to fall below the face value.
C. would make all ticket holders and potential buys better off (or at least no worse off).
D. cause the price to fall back to the face value.
Answer: C
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On the vertical axis, the production possibilities frontier shows ________; on the horizontal axis, the production possibilities frontier shows ________
A) the quantity of a good; the number of workers employed to produce the good B) the quantity of a good; the price of the good C) the quantity of a good; a weighted average of resources used to produce the good D) the quantity of one good; the quantity of another good
Carolina Baby Inc produces and sells dresses for kids in a perfectly competitive market. Which of the following will be the firm's profit-maximizing outcome?
a. The firm earns a marginal revenue of $20 if it produces 600 dresses at a marginal cost of $15. b. The firm earns a marginal revenue of $20 if it produces 700 dresses at a marginal cost of $20. c. The firm earns a marginal revenue of $20 if it produces 800 dresses at a marginal cost of $24. d. The firm earns a marginal revenue of $20 if it produces 900 dresses at a marginal cost of $27.
Suppose Chris is a potter who makes mugs. His total costs depend on the number of mugs he makes each day, as shown in the accompanying table.Number of Mugs Per DayTotal Cost Per Day0$101$142$193$254$325$406$49 If the market for mugs is perfectly competitive, and mugs sell for $7.50 each, then Chris should make ________ mugs per day.
A. 4 B. 5 C. 6 D. 0
Fiat money refers to a monetary system in which gold backs up paper money
Indicate whether the statement is true or false