In a competitive market when there is no deadweight loss
A) consumer surplus is minimized.
B) producer surplus is minimized.
C) consumer surplus plus producer surplus is maximized.
D) consumer surplus plus producer surplus is minimized.
C
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Suppose the market for autoworkers is initially in equilibrium, but then the automakers purchase capital goods that are a substitute for workers. What happens in the market for autoworkers?
What will be an ideal response?
Assume the price of Coca-Cola increases. As a result, your real income decreases and you decrease the quantity of Coca-Cola purchased each month. This is an example of the:
a. income effect. b. consumer price effect. c. revenue effect. d. substitution effect.
The richest fifth of U.S. households get nearly half of all U.S. income.
Answer the following statement true (T) or false (F)
An accountant shows an invoice for a resource to the manager of the firm. They are discussing
A. explicit costs. B. economic profits. C. implicit costs. D. either explicit costs or implicit costs, but we can't tell without more information.