Answer the following questions true (T) or false (F)
1. If the market price is at equilibrium, the deadweight loss is maximized.
2. If the market price is at equilibrium, the producer surplus is minimized.
3. The sum of consumer surplus and producer surplus is called economic surplus.
1. FALSE
2. FALSE
3. TRUE
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Scarcity is only a temporary problem that a society can solve by promoting economic growth.
Answer the following statement true (T) or false (F)
The Clayton Act prohibits all horizontal mergers, regardless of their economic consequences
a. True b. False
Which of the following contributes to structural unemployment?
A. People over 65 who don't really want to work. B. A general short-run downturn in the economy. C. People quitting a job just long enough to look for and find another one. D. People losing a job when their skills become obsolete due to technological innovations.
Policy making that is carried out in response to a rule is
A) restrictive policy making. B) passive policy making. C) determined policy making. D) active policy making.