In a market, the rationing function of prices results in
A) long waiting lines.
B) a price ceiling.
C) an equilibrium between supply and demand.
D) a shortage or surplus.
Answer: C
You might also like to view...
Which of the following statements is true?
A) Firms are the demanders in the market for labor as well as the market for consumer goods. B) Firms are the suppliers in the market for labor as well as the market for consumer goods. C) Firms are the demanders in the market for labor, whereas they are the suppliers in the market for consumer goods. D) Firms are the suppliers in the market for labor, whereas they are the demanders in the market for consumer goods.
Keynesians believe
A) in laissez-faire. B) that equilibrium may exist at less than full employment. C) in the use of fiscal policy to stabilize the economy. D) b and c E) all of the above
Prices are sticky as a result of
A. market competition. B. rational inattention. C. rational expectations. D. frequent information updates.
If the average cost curve is downward sloping, then
a. marginal cost is smaller than average cost. b. the marginal cost curve is also downward sloping. c. there are increasing marginal returns to labor. d. wages and other input prices are falling.