If the world price for a good is above a nation's pre-trade equilibrium price, then the nation
A) will export the good.
B) will import the good.
C) will neither export nor import the good.
D) cannot gain from trade.
E) Both C and D.
A
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The above figure shows the market for french fries at fast food joints. If the price of potatoes rises and simultaneously people become concerned that french fries can cause heart attacks the
A) demand curve for french fries shifts from D2 to D1 and the supply curve of french fries does not shift. B) demand curve for french fries shifts from D2 to D1 and the supply curve of french fries shifts from S2 to S1. C) demand curve for french fries shifts from D2 to D1 and the supply curve of french fries shifts from S1 to S2. D) demand curve for french fries does not shift, and the supply curve of french fries shifts from S1 to S2.
In the long run, the monopolistically competitive firm's demand curve will
A) intersect the ATC at its minimum point. B) intersect the ATC curve somewhere past the minimum point. C) become tangent to the ATC curve at its minimum point. D) become tangent to the ATC curve somewhere to the left of its minimum point.
A good that is neither rival nor exclusive is called
a. a private good b. a public good c. a quasi-private good d. an external good e. an open access good
Use the figure below, which shows a linear demand curve and the associated total revenue curve, to answer the question.
The price for which 100 units can be sold is $________.
A. 15 B. 25 C. 45 D. 10 E. 50