In third-degree price discrimination, markets with a smaller price elasticity of demand are ________ responsive to price changes and are charged ________ prices than markets with a larger price elasticity of demand.
A) less; lower B) more; lower C) less; higher D) more; higher
C) less; higher
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The government safety net creates ________ problem because risk-loving entrepreneurs might find banking an attractive industry
A) an adverse selection B) a moral hazard C) a lemons D) a revenue
When a perfectly competitive, well-functioning market is not in equilibrium:
A. total surplus can be increased by a change in market price. B. there are exchanges that can make some better off without someone becoming worse off. C. the market is not efficient. D. All of these are true.
What is the relationship between price elasticity of demand and total revenue for the firm?
What will be an ideal response?
In the U.S. health care market, the uninsured typically receive health care for:
A. emergencies, but not for preventative care. B. preventative care, but not for emergencies. C. both emergencies and preventative care. D. neither emergencies nor preventative care.