Creating market power through the use of tariffs or quotas can
A) drive price to the monopoly level.
B) increase the world price of the good that is targeted.
C) increase government revenue.
D) All of the above.
D
You might also like to view...
A craze for apples in Riverdale increases the quantity demanded at every price by five bushels. Between any two prices, the new demand curve will be ____ the old demand curve.
A. more elastic than B. less elastic than C. equal in elasticity to D. More information is needed to predict the relationship.
When Harlan County, Kentucky, has a monopsony coal mining firm,
a. d and e. b. workers will work for the firm that pays the higher wage. c. coal buyers will continue to buy coal from other counties. d. coal miners will only have one employer. e. wages will be determined only by the demand for labor.
A gamble that offers a 1 percent chance of winning $699.93 and a 99 percent chance of losing $7.07 would be classified as a(n):
A. better-than-fair gamble. B. less-than-fair gamble. C. unfair gamble. D. fair gamble.
An example of an effective price ceiling would be the government setting the price of wheat at ________ per bushel when the market price is at $4.25 per bushel.
A. $3.75 B. $4.25 C. $7.75 D. $12.00