The price elasticity of demand for potatoes is estimated to be -1.3, and the quantity demanded of potatoes is 3,000 bushels per week. In this situation, a 4% rise in the price of potatoes would reduce the quantity demanded by
a. 92 bushels per week.
b. 120 bushels per week.
c. 156 bushels per week.
d. 975 bushels per week.
c. 156 bushels per week.
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Based on this figure, if the krone exchange rate is fixed at $0.09 dollars per krone, the krone is ________. 
A. revalued B. overvalued C. devalued D. undervalued
Suppose a firm has a variable cost function VC = 20Q with avoidable fixed cost of $50,000. What is the firm's average cost function?
A. AC = 50,000 + 20Q B. AC = (50,000/Q) + 20 C. AC = 50,000 + 40Q D. AC = 20
Marietta buys a certain type of soap among many choices because she trusts the brand. The soap manufacturer is most likely ______.
a. part of monopolistic competition b. a monopoly c. part of perfect competition d. an oligopoly
Refer to the data provided in Table 16.1 below to answer the following question(s).Table 16.1 shows the situation facing two firms, both of which are polluting. Assume that each firm emits 5 units of pollution.Table 16.1Firm AFirm AFirm AFirm BFirm BFirm BReduction of Pollution by Firm AMC of reducing pollution for Firm ATC of reducing pollution for Firm AReduction of Pollution by Firm BMC of reducing pollution for Firm BTC of reducing pollution for Firm B1$4$41$8$82 610212203 9193163641332420565185052480Refer to Table 16.1. Suppose the government wants to reduce the total amount of pollution from the current level of 10 to 4. To do this, the government caps each firm's emissions at 2 units and issues 2 permits to each firm. If firms are not allowed to trade permits, what is the
total cost of the pollution reduction? A. $30 B. $55 C. $58 D. $130