An unstable inflation rate
a. always redistributes real income from lenders to borrowers.
b. always redistributes real income from borrowers to lenders.
c. adds to the risk of borrowing and lending and interferes with long-run financial planning.
d. makes goods and services too expensive.
e. always redistributes real income from taxpayers to the government.
C
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Figure 11-4
Physicians have two types of patients: private patients who pay directly or with insurance, and Medicaid patients whose care is paid for by the state. Physicians must lower prices to attract more private patients, but they can add unlimited Medicaid patients at a constant price. The situation facing Dr. Casey is depicted in Figure 11-4. Units of medical service (say, number of patients × number of visits) are measured on the horizontal axis. How many units of medical service will Dr. Casey deliver to Medicaid patients?
A. OA B. AC C. OC D. OD
Since 1990 the highest economic growth rates in the world have occurred in
A. The United States. B. Nigeria. C. India. D. China.
Aggregate producer surplus in an industry is measured along the market supply curve is and only if firm production technologies exhibit the quasilinearity property.
Answer the following statement true (T) or false (F)
Which of the following statements is true of perfect competition?
A) The outcome in a perfectly competitive market is Pareto inefficient. B) The total value of production across a perfectly competitive industry is maximized. C) Firms under perfect competition produce at a point where price is greater than marginal cost. D) Consumers in a competitive market purchase at a point where marginal utility is greater than price.