The figure below shows the demand curve, marginal revenue curve, marginal cost curve and average total cost curve for a monopolist. 
At the socially optimal level of output, this monopolist would:
A. incur an economic loss of $64.
B. incur an economic loss of $112.
C. earn an economic profit of $16.
D. incur an economic loss of $16.
Answer: A
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Which of the following will be included in the income-based method of national accounting?
A) A firm's expenditure on raw materials B) A student's expenditure on education C) A consumer's expenditure on a imported car D) A worker's retirement benefits
Compared with other countries in the OECD, U.S. government spending relative to GDP is
A) among the highest. B) about average. C) slightly below average. D) among the lowest.
Property that is owned by everyone and therefore by no one in particular is referred to as
A) common property. B) social property. C) private property. D) commercial property.
Individuals economize and respond predictably to Select one:
a. positive incentives but not negative incentives b. negative incentives but not positive incentives c. both positive and negative incentives d. neither positive or negative incentives