When demand falls and supply remains the same, equilibrium price _______ and equilibrium quantity ________.
A. falls; falls
B. rises; rises
C. falls; rises
D. rises; falls
A. falls; falls
You might also like to view...
The natural unemployment rate is ________ unemployment rates
A) the sum of the turnover and cyclical B) the sum of the turnover and mismatch C) the sum of the structural and cyclical D) the sum of the structural, cyclical, and frictional E) the cyclical minus the mismatch
A budget constraint:
A. shows different bundles of goods that all yield the same total utility. B. shows different bundles of goods that all cost the same amount. C. shows different bundles of goods that all maximize an individual's utility. D. shows how much income is needed to maximize total utility.
You just purchased a lawn mower from your next-door neighbor. How can we measure the gains from this transaction?
A. The actual benefit that you receive plus the actual benefit to your neighbor B. The gains to your neighbor minus the amount that you paid her C. The gains to you minus the amount that your neighbor paid for the mower D. The gains to you cancel out the gains received by your neighbor E. Just the benefit to your neighbor
For profit-maximizing, competitive firms, the demand curve for each factor of production equals the value of the marginal product of that factor
a. True b. False Indicate whether the statement is true or false