Quick Buck and Pushy Sales produce and sell identical products and face zero marginal and average cost. Below is the market demand curve for their product. 
If Quick Buck and Pushy Sales decide to collude and work together as a monopolist with each firm producing half the quantity demanded by the market at the monopoly price, then what will be Quick Buck's economic profit?
A. $4,000
B. $3,000
C. $1,000
D. $2,000
Answer: D
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Use the following figure to answer the next question.
If the firm is producing at Q1, the area BADE represents the
A. average variable cost. B. total variable cost. C. total fixed cost. D. total cost.
Refer to the above figure. Suppose the equilibrium moves from E' to point E. An event that could have caused this movement is
A) an increase in the real interest rate in the United States. B) an increase in U.S. productivity. C) an increase in the perceived stability of the U.S. economy. D) an increase in demand for Japanese-produced goods by U.S. residents.
An increase in the price of good x will be accompanied by:
a. a shift in the market demand curve for good x. b. a shift in the market demand curve for good y (a substitute for good x). c. a movement along the market demand curve for good x. d. both b and c.
Which of the following items is included in U.S. GDP?
a. final goods and services that are purchased by the U.S. federal government b. intermediate goods that are produced in the U.S. but that are unsold at the end of the GDP accounting period c. goods and services produced by foreign citizens working in the U.S. d. All of the above are included in U.S. GDP.