Suppose penalties are imposed on both buyers and sellers of marijuana, but the cost of breaking the law to sellers is greater than that to buyers
This measure will ________ the equilibrium price of marijuana and ________ the equilibrium quantity of marijuana sold. A) lower; increase
B) raise; increase
C) raise; decrease
D) not change; will decrease
C
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Based on the model, the firm’s M? function must be
Consider the following model for the production of refined oil: MSC = 10 + 0.5Q; MEC = 0.3Q; MSB = 30 – 0.3Q; MEB = 0. a. M? = 20 – 0.8Q c. M? = 0.3Q b. M? = 20 – 0.5Q d. M? = 20 – 0.1Q
If the price level increases, there is ________ the AD curve and the quantity of real GDP demanded ________
A) a movement upward along; increases B) a leftward shift in; decreases C) a movement downward along; increases D) no change in; does not change E) a movement upward along; decreases
In a perfectly competitive market, a firm in long-run equilibrium will be operating
A. at the minimum of the marginal cost curve. B. at the minimum of the long-run average cost curve. C. to the left of the minimum of the long-run average cost curve. D. to the right of the minimum of the long-run average cost curve.
In the late 1990s, Thailand, Malaysia, and Indonesia all experienced sharp declines in the value of their currencies; this resulted in economic instability and crisis. The collapse in the values of their currencies undermined their development by:
A. decreasing political instability. B. decreasing population growth. C. increasing corruption. D. reducing investment.