If MC's Hammers, a perfectly competitive firm, finds that its total revenue is $45,000 . its fixed cost is $20,000 . and its total cost is $50,000 . its producer surplus is
a. zero because TC > TR
b. -$5,000
c. $25,000
d. $15,000
e. -$25,000
C
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Total expenditure by a buyer is equal to the
A. slope at any point along the demand curve. B. price times quantity demanded at any point along the demand curve. C. elasticity times price at any point along the demand curve. D. elasticity times quantity demanded at any point along the demand curve.
Total surplus is represented by the area below the
a. demand curve and above the price. b. price and up to the point of equilibrium. c. demand curve and above the supply curve, up to the equilibrium quantity. d. demand curve and above the horizontal axis, up to the equilibrium quantity.
A utilitarian government will pursue policies that redistribute income from the rich to the poor. One problem with these policies is that
a. everyone has less incentive to work hard. b. the rich will work harder while the poor will not. c. the poor will work harder while the rich will not. d. everyone in the middle class ends up worse off.
Economic growth was stimulated by suburbanization
A. in the first five years after World War II. B. in the 15 years following World War II. C. from the mid 1960s to the mid 1970s. D. after the Persian Gulf War.