A binding price floor causes quantity supplied to be less than quantity demanded
a. True
b. False
Indicate whether the statement is true or false
False
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Consumers expressed outrage at the high price of chainsaws after Hurricane Andrew hit Florida and Louisiana, with newspaper editorials accusing suppliers of unconscionable price gouging. Use a supply and demand graph to assist in explaining the increase in the price of chain saws after Hurricane Andrew.
What will be an ideal response?
Which of the following correctly identifies an argument against free trade?
A) Free trade reduces world production. B) Free trade hampers technology transfers. C) Free trade increases the wages in importing countries. D) Free trade may result in job loss in some specific industries in the domestic economy.
If households believe their incomes will fall in the future, the result is a
A) rightward shift in the supply of loanable funds curve. B) leftward shift in the supply of loanable funds curve. C) movement along the supply of loanable funds curve. D) movement along the demand for loanable funds curve.
The four-firm concentration ratio for an industry is
A. the number of firms in the industry, divided by four. B. the share of industry output sold by the four largest firms in the industry. C. the percentage of total industry profits claimed by the four largest firms. D. the share of industry output sold by the fourth largest firm in the industry.