If an economist states that not enough of a good is being produced, she usually means that
A) not everyone can afford the good.
B) price exceeds marginal cost.
C) consumer surplus equals zero.
D) at equilibrium, some people who still wish to sell the good cannot find a buyer.
B
You might also like to view...
An increase in pollution has caused a permanent increase in the rate of capital depreciation. This would cause
A) an increase in the capital—labor ratio. B) output per worker to fall. C) a decline in consumption per worker. D) the capital—labor ratio to be unaffected.
The introduction of satellite television systems would cause the demand curve for cable television to be
A) more elastic. B) less elastic. C) perfectly inelastic. D) unchanged.
After a couple of months searching for a job, Sofia is hired. Which of the following increases?
a. the labor force and the labor force participation rate b. the labor force participation rate but not the labor force c. the labor force participation rate but not the labor force d. neither the labor force nor the labor force participation rate
Which of the following examples would most likely be caused by a price ceiling?
a. fluctuating quantity of mid-rent apartments b. equilibrium quantity of low-income apartments c. shortages of low-income housing d. surpluses of mid-rent apartments