There will be long-run pressure on the price to rise whenever

A. P>ATC.
B. P C. P D. b) and c).


Answer: D

Economics

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In the above figure, what is the amount of consumer surplus at the efficient quantity?

A) $0 B) $1,000 C) $2,000 D) $4,000

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The paradox of value can be resolved by distinguishing between

A) quantity demanded and quantity supplied. B) supply and quantity supplied. C) normative and positive statements. D) total utility and marginal utility.

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Classical economists believe that

a. velocity varies directly with the money supply b. changes in the money supply affect real GDP c. the quantity of money explains prices d. the money supply affects velocity e. there are three motives involved in the demand for money

Economics

Adam Smith

A. argued that capitalism is often confused with democracy. B. wrote Das Kapital. C. said that the entrepreneur is motivated by self-interest. D. coined the phrase: "From each according to his ability, to each according to his needs."

Economics