If differentiation makes the market demand curve less elastic, then
A) consumer surplus increases.
B) the market structure changes into a monopoly.
C) price markup over marginal cost is lower than when products are identical.
D) price markup over marginal cost is higher than when products are identical.
D
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For the federal deficit to be lowered
A) the Federal Reserve must reduce the money supply. B) the federal government must decrease its spending and increase net exports. C) the federal government's expenditures must be lower than its tax revenue. D) the Federal Reserve must raise interest rates and lower the required reserve ratio.
A teenager without a high school diploma is unable to find work because all of the available jobs require a certain minimum reading skill level which he is not proficient in. Which of the following best characterizes the teenager's circumstances?
A. Structurally unemployed. B. Underemployed. C. A discouraged worker. D. Phantom unemployed.
Unlike the 1930s, the Federal Reserve System followed an easy money policy in the first decade of the 2000s and, consequently, was able to prevent a severe recession from following a period of notably high economic activity
Indicate whether the statement is true or false
Which of the following is true if the price of coffee increases?
a. The demand for tea, a substitute good, will decrease. b. The demand for coffee will increase. c. The demand for coffee and tea will decrease. d. Both the demand for coffee and tea will increase. e. The demand for tea, a substitute good, will increase.