Kate and Alice are small-town ready-mix concrete duopolists. The market demand function is Qd = 20,000 - 200P, where P is the price of a cubic yard of concrete and Qd is the number of cubic yards demanded per year. Marginal cost is $80 per cubic yard. The Cournot model describes the competition in this market. What is the amount of the deadweight loss?
A. $8,888.89
B. $2,222.22
C. $1,333,33
D. $4,444.44
D. $4,444.44
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A) a reduction in government spending. B) an increase in autonomous spending by consumers. C) a reduction in investment spending by the private sector. D) an increase in Social Security spending by the elderly.
Coordination problems in large firms might lead to:
A. horizontal marginal cost curves. B. downward-sloping marginal cost curves. C. upward-sloping short-run average cost curves. D. upward-sloping long-run average cost curves.
Which of the following technological breakthroughs failed to deliver many economic benefits?
A. Automobiles B. Computers C. Antibiotics D. Manned space travel
Money as defined by M1 includes
A. coins. B. paper money. C. checking deposits. D. travelers’ checks. E. All of these responses are correct.