Refer to the information provided in Figure 3.8 below to answer the following question(s). Figure 3.8Refer to Figure 3.8. Assume there are only two people in the market for baseball caps: Alex and Ryan. Along the market demand curve for baseball caps, at a price of ________, quantity demanded would be ________.

A. $10; 12
B. $10; 6
C. $8; 14
D. $8; 25


Answer: C

Economics

You might also like to view...

If firms are protected by substantial barriers to entry, short-run profits can turn into long-run profits

Indicate whether the statement is true or false

Economics

What is the main reason the Fed operates in a political arena?

A) It lacks a constitutional mandate. B) The members of the Board of Governors must run for reelection every fourteen years. C) The members of the Board of Governors are typically prominent politicians. D) It is under the direct control of Congress.

Economics

Adverse selection in insurance requires that

a. all people face the same risk b. potential customers facing more risk are no more interested in purchasing insurance c. people are risk averse d. insurers can tell higher risk people from lower risk people

Economics

Suppose that residents of a town are asked to vote on the best way to improve the safety of an intersection. The three choices are: a stoplight, a 4-way stop, and a 2-way stop. When the mayor asks the residents to choose between a stoplight and a 4-way stop, the residents choose a 4-way stop. Then, when the mayor asks them to choose between a 4-way stop and a 2-way stop, they choose a 2-way stop

However, if the mayor firsts asks the residents to choose between a 4-way stop and a 2-way stop, they choose a 2-way stop. Then, when the mayor asks the residents to choose between a 2-way stop and a stoplight, they choose a stoplight. What does this example illustrate? a. Arrow's impossibility theorem b. the Condorcet paradox c. a Borda count d. the median voter theorem

Economics