Consumer surplus is:
a. ?the amount by which quantity supplied exceeds quantity demanded at the current market price.
b. ?valued by the difference between the maximum price consumers are willing to pay and the amount they actually pay.
c. ?the change in total utility derived from a one-unit change in the consumption of a good.
d. ?the amount by which quantity demanded exceeds quantity supplied at the current market price.
e. ?the horizontal sum of the individual demand curves for all consumers in the market.
Answer: b. ?valued by the difference between the maximum price consumers are willing to pay and the amount they actually pay.
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________ of unemployment during ________ make it easier for workers to ________ wages
A) Low levels; an expansion; negotiate higher B) High levels; an expansion; accept lower C) High levels; a recession; negotiate higher D) Low levels; a recession; accept lower
Which of these conclusions does the graph U.S. Unemployment by Sex and Age support?
a. The U.S. Department of Labor does not differentiate the gender of teenagers when
reporting unemployment figures.
b. The unemployment rate for adults 20 or older is less than that of the total population.
c. The percentage of unemployed teenagers is overreported because it exceeds the
combined percentages of unemployed men and women.
d. The U.S. Department of Labor does not count teenagers as part of the total
population when reporting unemployment figures.
The narrowest definition of the money supply (M1) includes
A. cash and travelers’ checks. B. cash, travelers’ checks, and savings account balances. C. cash, checking account balances, and travelers’ checks. D. cash, bank deposits, and money market accounts.
Consider a monopoly where the inverse demand for its product is given by P = 80 ? 2Q. Total costs for this monopolist are estimated to be C(Q) = 100 + 20Q + Q2. At the profit-maximizing combination of output and price, deadweight loss is:
A. $50. B. $80. C. $30. D. Cannot be determined with the given information.