Price ceilings often generate
A) market clearing prices.
B) rapid increases in supply to meet the excess demand.
C) equilibriums that utilize rationing by price.
D) black markets.
D
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If the government uses stabilization policies to reduce inflation, the economy may have to suffer
A. higher rates of real GDP growth. B. higher rates of unemployment. C. lower rates of unemployment. D. higher rates of price level growth.
The supply of loanable funds is from
A) firms and the government if it has a budget deficit. B) households and the government if it has a budget deficit. C) firms and the government if it has a budget surplus. D) households and the government if it has a budget surplus. E) households and firms.
A textbook publisher is in monopolistic competition. The firm can sell no books at $100 a book, but for each $10 cut in price, the quantity of books it can sell increases by 20 books a day
The firm's average variable cost and marginal cost is a constant $20 per book. What is the publisher's profit-maximizing level of output? A) 60 books per day B) 80 books per day C) 100 books per day D) 120 books per day
Relative to a simultaneous-move situation, the gain to firm R from being able to move first in the game in Scenario 13.14, would be
A) 40. B) 37. C) 32. D) 5. E) 3.