If activists successfully lobbied government to force firms to produce more output than they normally would in a perfectly competitive market,
A) consumer surplus would decline.
B) producer surplus would increase.
C) taxation would solve the problem.
D) total surplus in the market would decline.
D
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Use the figure below to answer the following question. 
Assume that price increases from $2 to $10. The price elasticity of supply (based on the midpoint formula) associated with this price change is about
A. 0.25 and supply is inelastic. B. 1 and supply is unit-elastic. C. 1.35 and supply is elastic. D. 4 and supply is elastic.
How would the following events affect the market demand for laser printers?
a) A recession in the economy leading to a fall in income levels b) A five-fold increase in the price of printing paper
The money supply contracts when the Fed
A. replaces old worn-out notes and bills. B. borrows from the Treasury. C. sells government securities. D. purchases stocks from corporate businesses.
The above table shows the daily production possibilities for a nation. Given the production possibilities schedule in the above table, a combination of 60 televisions and 40 cars
A. is not attainable because society does not have enough resources to produce this combination. B. would be attainable only if a new technology of producing televisions or carss were introduced. C. is attainable but involves an inefficient use of society's resources. D. is not attainable because it is not listed in the schedule.