Suppose you are given the following demand curves: Q = 32 - P and Q = 16 - (P/2). Add these two demand curves vertically and find the market demand curve.
What will be an ideal response?
The demand curve has two portions. When Q is between 0 and 16, the demand curve is Q =
(64/3) - (P/3). When Q is between 16 and 32, the demand curve is Q = 32 - P.
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In the U.S., each additional year of schooling has historically raised a person's wage on average by about
a. 2 percent. b. 5 percent. c. 10 percent. d. 15 percent.
Jake, Sr. sells the family business, a factory that produces snake oil, to Jake, Jr., for $100, even though the factory has been assessed at $400,000. How will this transaction affect GDP?
A. Investment will increase by $100. B. GDP will not be affected by the transaction. C. Consumption will increase by $400,000. D. Investment will increase by $400,000.
What is the reason for the law of increasing opportunity costs?
What will be an ideal response?
If one person's enjoyment of the benefits of a good ________ with another's consumption of it, the good is nonrival in consumption. This is a characteristic of a ________ good.
A. interferes; private B. interferes; public C. does not interfere; private D. does not interfere; public