Refer to above figure. What happens to the Consumer Surplus of Hungarian customers as a result of this subsidy?
What will be an ideal response?
An increase of $10 Million.
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The unemployment rate is an important economic statistic that can tell us about the health of the economy. If the unemployment rate turns out to be high or higher than anticipated, we would expect
A) that jobs are less difficult to find. B) that investors will be more optimistic about the economy. C) that stock prices are more likely to fall. D) it is more likely that an incumbent president will be re-elected.
Suppose that the central bank must follow a rule that requires it to increase the money supply when the price level falls and decrease the money supply when the price level rises. If the economy starts from long-run equilibrium and aggregate supply shifts left, the central bank must
a. decrease the money supply, which will move output back towards its long-run level. b. decrease the money supply, which will move output farther from its long-run level. c. increase the money supply, which will move output back towards its long-run level. d. increase the money supply, which will move output farther from its long-run level.
For a monopoly producing any output level greater than one, the marginal revenue curve:
A. lies below the demand curve. B. is minimized when total revenue is maximized. C. lies above the average revenue curve. D. is the same as the demand curve.
The demand curve is a representation of the relationship between the quantity of a product demanded and:
a. Wealth b. Income c. Price d. Supply