The equilibrium consumption bundle is:
A. the bundle where the budget line and the indifference curve meet.
B. any bundle that is the farthest from the origin.
C. the affordable bundle that yields the greatest satisfaction to the consumer.
D. any affordable bundle in the budget set.
Answer: C
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Indicate whether the statement is true or false
A four-firm concentration ratio measures
A) the fraction of an industry's sales accounted for by the four largest firms. B) the production of any four firms in an industry. C) how the four largest firms became so concentrated. D) the fraction of employment of the four largest firms in an industry.
Refer to the information provided in Figure 3.9 below to answer the following question(s).
Figure 3.9Refer to Figure 3.9. Assume that there are only two people in the market for coconuts: Sasha and Kyle. Along the ________ for coconuts, at a price of $14, quantity demanded would be 10.
A. market demand curve B. demand curve for Kyle C. demand curve for Sasha D. none of the above
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A) can make long-run profits. B) set price greater than marginal cost. C) are protected by entry barriers. D) advertise extensively.