If a 20 percent increase in the price of a good does not change the quantity supplied, the
A) supply is perfectly inelastic.
B) supply is unit elastic.
C) supply is perfectly elastic.
D) supply is elastic.
E) None of the above answers is correct.
A
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Firms in an oligopoly market will have a more difficult time maintaining price coordination when:
A) demand for the firms' products remains stable. B) the firms' cost structures are similar. C) the firms' products are highly differentiated. D) each firm controls the same share of the market.
In a situation in which internal costs differ from social costs, we say that there exists a(n)
A) welfare loss. B) welfare benefit. C) internality. D) externality.
An example of opportunity cost:
a. is the Chinese food that you gave up when you chose to eat Italian food. b. is the tuition that you pay to attend college. c. for a professor of economics is the pleasure that he or she derives from teaching economics. d. is sweets given up by a person who would never eat them even if he or she could. e. is the amount spent on buying movie tickets.
If there were no individual mandate requiring most individuals to purchase health insurance:
a. individuals in good health have no incentive to purchase health insurance b. there would be an adverse selection of unhealthy people purchasing health insurance c. both of the above d. neither of the above