Suppose the domestic supply (QS) and demand (QD) for skateboards in the United States is represented by the following set of equations:QS = -60 + 3PQD = 390 - 2PCalculate the change in producer surplus when the United States engages in free trade and imports skateboards from the rest of the world at a per unit price of $75.
A. +$3,375.
B. +$2,812.50.
C. -$2,812.50.
D. -$3,375.
Answer: C
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According to the Application, the differential survival of the wealthy created an environment
A) which allowed for economic growth. B) where lower-class people could no longer afford to live in the country. C) that directly led to the demise of the British monarchy. D) which caused increased class warfare.
The New Deal succeeded in ending the Great Depression
Indicate whether the statement is true or false
Wanda owns a lemonade stand. She produces lemonade using five inputs: water, sugar, lemons, paper cups, and labor. Her costs per glass are as follows: $0.01 for water, $0.02 for sugar, $0.03 for lemons, $0.02 for cups, and $0.10 for the opportunity cost of her labor. She can sell 300 glasses for $0.50 each. What are Wanda's total economic costs per glass?
a. $0.18 b. $0.10 c. $0.08 d. $0.02
A change in supply cannot be caused by a change in:
A. resource prices. B. technology. C. the number of suppliers. D. the price of the good itself.