Surplus refers to:
A. the difference between the price at which a buyer or seller would be willing to trade and the actual price.
B. the difference between the willingness to pay and the actual price paid.
C. the difference between the willingness to sell and the actual price accepted.
D. All of these are true.
D. All of these are true.
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Compared to the 19th century, the population of the 20th century
(a) was largely urbanized. (b) was 3.7 times larger in number. (c) experienced a 63 percent increase in life expectancy at birth. (d) can be described by all of the above.
An increase in the marginal factor cost of labor will
A) lead to an increase in the quantity demanded of labor. B) induce a firm to hire fewer workers. C) lead to an increase in the value of an additional worker. D) cause the value of the marginal product of labor to increase.
When a Canadian citizen enjoys military protection in Canada without contributing to the cost of Canada's defense budget, then
A) this Canadian citizen is a free rider. B) Canada is a free rider. C) this citizen receives no benefits if Canada is attacked. D) Canada's defense budget will run out of funds.
A perfectly competitive firm will hire labor as long as the marginal revenue product of labor is
A. equal to the going wage. B. zero. C. greater than the going wage. D. less than the going wage.