When the United States exports a good, the amount of the ________ in U.S. consumer surplus is ________ the amount of the ________ in U.S. producer surplus
A) increase; smaller than; increase
B) increase; larger than; decrease
C) decrease; smaller than; increase
D) decrease; equal to; decrease
C
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An illustration of the continuous flow of goods, services, inputs, and payments between firms and households is known as the ______.
a. capital flow chart b. simple circular flow model c. circular service cycle d. chain of payments
When social costs of an activity exceed private costs
A) a market failure exists. B) there is a tendency for resources to be under-utilized. C) this means that resources are being efficiently used. D) the actual price is above the efficient price.
The first antitrust law in the United States was the
A. Robinson-Patman Act. B. FTC Act. C. Clayton Act. D. Sherman Act.
Because most people spend a very small fraction of the income on tap water, it is likely to be
A. inelastic. B. perfectly elastic. C. perfectly inelastic. D. elastic.