Suppose that the price of a pound of potatoes increases from $0.75 to $0.90 . Use the midpoint formula to calculate the percentage change in price
What will be an ideal response?
% change in price = [$0.90 - $0.75]/[($0.90 + $0.75)/2] = [$0.15]/ [($1.65)/2] = [$0.15/$0.825]= 18.2
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It is estimated that, on the average and without taking account of skill differentials, union wages are
A) equal to nonunion wages. B) less than nonunion wages. C) 66 percent higher than nonunion wages. D) 100 percent higher than nonunion wages. E) 30 percent higher than nonunion wages.
If the United States imposes a tariff on imported cars, the
A) U.S. demand curve shifts rightward. B) U.S. demand curve shifts leftward. C) U.S. supply curve shifts rightward. D) the price in the United States rises but neither the U.S. demand curve nor the U.S. supply curve shift.
A monopolist is a price maker who will lose some business if the price is increased.
Answer the following statement true (T) or false (F)
Some years ago, the World Bank surveyed the ways in which countries encouraged or discouraged market activity. Its conclusion was:
a. when poor people are allowed access to the institutinos richer people enjoy, they are ill equipped to take advantage of those benefits b. when poor people are allowed access to the institutions richer people enjoy, they can thrive and help themselves c. that there was no measurable difference between the countries that actively encouraged market activity from those that discouraged it. d. without the proper resources, encouraging market activity had no effect