Using supply and demand curve analysis, the triangular area above the equilibrium price and under the demand curve is:
A. consumer surplus.
B. producer surplus.
C. marginal cost.
D. deadweight loss.
Answer: A
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Which of the goals pursued by policymakers in an open economy is desirable because it reduces the uncertainty of conducting economic activity across borders?
A) exchange-rate stability B) monetary policy independence C) free capital flows D) appreciation of the domestic currency
Factors that shift the AD Curve include ________
A) the inflation rate B) aggregate output C) taxes D) all of the above E) none of the above
Public saving is the difference between _____ and _____
Fill in the blank(s) with correct word
When the production of a good creates external costs,
A. The level of environmental pollution will be lower. B. Production of the good will be lower. C. Society's collective well-being will be lower. D. Profits for the producer of the good will be lower.