A minimum wage set above the equilibrium wage
A) decreases the deadweight loss in the market.
B) decreases the workers' surplus because workers must spend resources looking for jobs.
C) increases the firm's surplus.
D) increases the market's efficiency.
E) has no effect on the market.
B
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A single-price monopoly can sell 10 units of its product at a price of $45 each but to sell 11 units, the monopoly must cut the price to $44. What is the marginal revenue of the extra unit sold?
A) $484 B) $450 C) $44 D) $34 E) -$1
Was the money multiplier stable during the Great Recession? Why would an unstable money multiplier pose a problem for monetary policy?
What will be an ideal response?
Which of the following causes the production possibilities curve to shift to the right?
A. a famine B. a war C. the depletion of oil reserves D. the development of a new technology that improves productivity
In a two-nation, two-good world, if both nations have identical production possibilities curves with constant costs, then one nation would have
A. no comparative advantage over the other nation. B. an absolute advantage in one good and an absolute disadvantage in the other good. C. a comparative advantage in one good and a comparative disadvantage in the other good. D. no absolute advantage over the other nation.