Three hundred paper mills compete in the paper market. The total cost of production (in dollars) for each mill is given by the formula TC = 1,000Qmill + (Qmill)2, where Qmill indicates the mills annual production in thousands of tons. The marginal external cost of a mill's production (in dollars) is given by the formula MEC = 200 + 2Qmill. Finally, annual market demand (in thousands of tons) is given by the formula Qd = 200,000 - 100P. What is the competitive price?
A. $1,400
B. $920
C. $7,000
D. $1995
A. $1,400
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While cyclical majorities can lead to unstable outcomes, they generally do not because of _____
a. rational ignorance b. double-peaked preferences c. political institutions d. majority rule
The principal difference between income and money is that income is a ____ and money is a ____
a. schedule, curve b. point, line c. stock, flow d. flow, stock
A currency that is pegged to another currency is usually changed on a supply-and-demand basis.
a. true b. false
When the C line is above the 45-degree line,
A. there is dissaving and consumption is greater than disposable income. B. there is dissaving g and consumption is less than disposable income. C. there is positive saving and consumption is greater than disposable income. D. there is positive saving and consumption is less than disposable income.