Answer the following questions true (T) or false (F)
1. Money will fail to serve as a medium of exchange if it ceases to be a store of value.
2. An economy without money would have no exchanges of goods and services.
3. In an economy with money, as opposed to barter, people are more likely to specialize in the production of goods and services.
1. TRUE
2. FALSE
3. TRUE
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The term "trust" in antitrust refers to a board of trustees that has collusive control over different companies
Indicate whether the statement is true or false
Most income transfer programs in the United States
a. are means-tested programs that transfer income to the poor. b. allocate income to small businesses and small farmers. c. are designed to help those with very little economic and political power. d. allocate income to concentrated interest groups, such as the elderly, large farmers, and business interests.
Suppose a small island nation imports sugar for its population at the world price of $1,500 per ton. The domestic market for sugar is shown below.
With no subsidy, what is producer surplus?
A. $0 per day B. $1,000 per day C. $8,000 per day D. $4,000 per day
Refer to the graph below for a pure monopoly. If the government regulated the monopoly and made it charge the socially optimal price, this price would be:
A. Higher than the profit-maximizing price
B. Higher than the fair-return price
C. Lower than both the fair-return price and the profit-maximizing price
D. Between the fair-return price and the profit-maximizing price