Gains from trade will be possible as long as
A) people have different endowments.
B) people place different values on some goods.
C) marginal rates of substitution are equal across individuals.
D) excess supply equals excess demand.
B
You might also like to view...
Which of the following would result in a positive externality?
A) A local government sets a maximum price on gasoline. B) Taco Bell adds 15 new items to its dollar menu. C) Medical research results in a cure for Ebola. D) A solar panel manufacturer raises its prices due to increased demand.
If the supply curve of cigarettes shifts to the left, quantity demanded for cigarettes
A) will decrease substantially. B) will increase substantially. C) will slightly increase. D) will slightly decrease.
If fixed costs are $960, variable costs are $1,440, and output is 12, then average total cost equals:
A. $ 80. B. $120. C. $200. D. $100.
The Clayton Act
a. preceded the Sherman Act. b. replaced the Sherman Act. c. strengthened the Sherman Act. d. was specifically designed to reduce the ability of cartels to organize.