When a competitive equilibrium is achieved in a market
A) all individuals are better off than they would be if a price ceiling or price floor was imposed by government.
B) the total net benefit to society is maximized.
C) the total benefits to consumers are equal to the total benefits to producers.
D) economic surplus equals the deadweight loss.
Answer: B
You might also like to view...
By monitoring financial diaries of several of the world's poorest families, economists found that a challenge facing the poor was:
A. they did save any money to pay down debts. B. their income fluctuated a lot, in addition to being low. C. they often did not diversify their savings and had "their eggs all in one basket". D. All of these are true.
Many governments are currently investing in:
A. less roadways. B. communications infrastructure. C. less ports, given the decreasing importance of international business. D. All of these are true.
The effects of foreign competition on the U.S. textile industry would be studied by a microeconomist rather than a macroeconomist
a. True b. False Indicate whether the statement is true or false
On December 16, 2008, the FOMC announced it would lower its target for the federal funds rate to between ________ and ________?
a. 0 ; .50 b. 1; 1.85 c. 0; .25 d. 1; 2