A major source of inefficiency in barter economies is that they require
A) a standard of deferred payment to make trade possible.
B) a double coincidence of wants in exchange.
C) more liquid stores of value than do monetary economies.
D) All of the above are correct.
Answer: B
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Why is the pricing outcome of a perfectly competitive firm efficient in economic sense?
What will be an ideal response?
When a certain monopoly sets its price at $8 it sells 64 units. When the monopoly sets its price at $10 it sells 60 units. The marginal revenue for the firm over this range is
a. $11. b. $22. c. $33. d. $44.
Napoli National Bank has liabilities of $3 million and net worth of $200,000. Napoli National Bank's assets are
A. $200,000. B. $2.8 million C. $3.0 million. D. $3.2 million.
Refer to Figure 23-3. Suppose that investment spending increases by $10 million, shifting up the aggregate expenditure line and GDP increases from GDP1 to GDP2. If the MPC is 0.9, then what is the change in GDP?
A) $9 million B) $10 million C) $90 million D) $100 million