Refer to the following table showing a monopolist's demand schedule: 
If price falls from $20 to $10, then
A. MR = -$30, and demand is inelastic.
B. MR = -$10, and demand is inelastic.
C. MR = $30, and demand is elastic.
D. MR = $10, and demand is elastic.
E. none of the above
Answer: A
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Holding other factors constant, an incline in the price of new capital goods will:
A. decrease investment. B. decrease national saving. C. increase investment. D. increase national saving.
If a price ceiling of $8 were placed in the market in the graph shown:
A. an excess supply of 7 would occur.
B. an excess supply of 15 would occur.
C. an excess supply of 23 would occur.
D. None of these is true.
The relationship between price and quantity supplied after firms fully adjust to any short-term economic profit or loss resulting from a change in demand is illustrated by the
a. long-run industry supply curve b. Dutch auction model c. short-run firm supply curve d. constant-cost industry supply curve e. short-run industry supply curve
Countries that maintain a constant gold value for their currencies are said to be on a gold standard
a. True b. False Indicate whether the statement is true or false