The above figure shows the market demand curve for mobile telecommunications (time spent on a mobile phone). The current price is $0.35 per minute. If the price were to increase by ten cents per minute, consumer surplus would
A) fall to $820.
B) fall by $84.
C) fall by $58.
D) fall to $369.
B
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When long-run average cost decreases as output increases there are definitely
A) increasing marginal returns. B) economies of scale. C) Both answers A and B are correct. D) Neither answer A nor B is correct.
The United Auto Worker (UAW) would best be classified as
A) a craft union. B) an industrial union. C) a guild. D) closed shop union. E) none of the above
Which one of the following types of cost declines over the whole range of output?
a) total fixed cost b) marginal cost c) average fixed cost d) average variable cost e) total variable cost
Suppose a new Concordia University graduate will have an annual nominal income of $35,000 for the first year she works. If the annual inflation rate is 10 percent, what salary would she need in the second year to maintain the same real income?
a. $35,000 b. $40,000 c. 31,500 d. 38,500