As a result of a decrease in price,
a. new buyers enter the market, increasing consumer surplus.
b. new buyers enter the market, decreasing consumer surplus.
c. existing buyers exit the market, increasing consumer surplus.
d. existing buyers exit the market, decreasing consumer surplus.
a
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________ refer to the money that insurance policyholders pay when making claims
A) Dividends B) Deductibles C) Copayments D) Coupons
The consumption function shows which of the following relationships in the economy?
a. The relation between consumption and saving, other things constant b. The relation between consumption and income, other things constant c. The relation between disposable income and taxes, other things constant d. The relation between saving and expenditure, other things constant
The monetary base is the sum of:
A. currency in the hands of the public, reserves and M1. B. currency in the hands of the public and reserves in the banking system. C. M1 and reserves. D. reserves and M2.
Relative to a competitively organized industry, firms acting collusively are more likely to produce
A. more output; charge higher prices, and earn economic profits. B. less output, charge lower prices, and earn economic profits. C. less output, charge lower prices, and earn only a normal profit. D. less output, charge higher prices, and earn economic profits.