Refer to the following graph.
A price ceiling would be binding, resulting in a market shortage if it is set at:
A. either $3.00 or $1.50.
B. $2.25.
C. $3.00.
D. $1.50.
Answer: D
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What is the benefit of using market-based policies over command-and-control regulations?
a. Market based policies can achieve the same result at lower costs. b. Market based policies can achieve the same result at higher costs c. Market based policies are easier to enforce than command-and-control policies. d. Market based policies eliminate more pollution than command-and-control policies.
If a firm is producing the level of output at which long-run average cost equals long-run marginal cost, then
A. long-run total cost is at its minimum point. B. long-run average cost is at its minimum point. C. long-run marginal cost is at its minimum point. D. both a and b E. all of the above
Use the data in the table below to answer the following question.PriceQuantity Demanded$201218171620142412301036840644448Over which price range is the demand inelastic?
A. $14-$12 B. $18-$16 C. $8-$6 D. $20-$18
Under the current managed float exchange rate regime, countries with balance of payments ________ frequently do not want to see their currencies ________ because it makes foreign goods more expensive for domestic consumers and can stimulate inflation
. A) surpluses; depreciate B) deficits; depreciate C) surpluses; appreciate D) deficits; appreciate