How is the total welfare resulting from import quotas on sugar affected as shown in Exhibit 2?
a. gain of area e
b. gain of area c
c. loss of areas c, d, e, and f
d. loss of areas d and f
d. loss of areas d and f
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Larry spends all his $800 monthly income on pizza and gasoline. The price of pizza is $4 a slice, and the price of gasoline is $2 per gallon
If Larry buys 150 slices of pizza per month, his budget constraint will allow him to buy ________ gallons of gas per month. A) 100 B) 80 C) 120 D) 200
Which of the following would be a positive economic statement?
a. Bankers are now charging higher interest rates on credit cards to cover the increased cost of loaning funds to consumers b. The United States should be more aggressive in its trade negotiations with its major trading partners to help reduce the trade deficit c. More money should be allocated by the Federal government to social programs and less money to national defense d. Rents for apartments in this city are too high and must be controlled by city government to keep landlords from making too much profit
Refer to the data provided in Table 16.1 below to answer the following question(s).Table 16.1 shows the situation facing two firms, both of which are polluting. Assume that each firm emits 5 units of pollution.Table 16.1Firm AFirm AFirm AFirm BFirm BFirm BReduction of Pollution by Firm AMC of reducing pollution for Firm ATC of reducing pollution for Firm AReduction of Pollution by Firm BMC of reducing pollution for Firm BTC of reducing pollution for Firm B1$4$41$8$82 610212203 9193163641332420565185052480Refer to Table 16.1. Suppose the government wants to reduce the total amount of pollution from the current level of 10 to 4. To do this, the government caps each firm's emissions at 2 units and issues 2 permits to each firm. If firms are allowed to trade permits, how many permits
will be traded between the two firms? A. B will buy two permits from A. B. A will buy one permit from B. C. B will buy one permit from A. D. A will buy two permits from B.
Given the same supply elasticity, the burden of a 10 percent tax on suppliers would be greatest on consumers within what price range?PriceQuantity$2.00264.00226.00188.001410.0010
A. $4 and $6 B. $8 and $10 C. $6 and $8 D. $2 and $4.