If rent-seeking behavior reduces competition in a market, cooperative surplus in that market will
A) increase.
B) decrease.
C) remain unchanged.
D) All of the above are equally likely to occur.
B
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A utility-maximizing consumer equalizes marginal utilities across all goods
a. True b. False
Early in U.S. history, health insurance was provided to cover:
a. the catastrophic cost of medical care including hospitalization and physicians' services. b. routine physicians' services. c. medical costs due to specific diseases such as tuberculosis and alcoholism. d. hospital expenses. e. income loss due to disability or disease
Industries with high barriers to entry
a. Pushes profits to normal returns b. increases the likelihood of firms entering the industry c. help firms sustain profits d. increases the number of competitors
Assume a money multiplier of 3. If the Treasury finances a $30 million expenditure by selling securities to the Fed, the money supply could ultimately
A) rise by $3 million. B) rise by $10 million. C) rise by $30 million. D) rise by $90 million.