If the government places a $1.20 tax on each pizza sold
A) consumers will have to pay $1.20 more for each pizza they buy.
B) the supply curve will shift left by $1.20.
C) the demand curve will shift right by $1.20.
D) both the demand curve and the supply curve will shift by 60 cents each.
B
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A profit-maximizing monopoly will choose advertising expenditures so the ratio of advertising expenditures to total revenue is equal to the ratio of advertising elasticity to price elasticity (in absolute value)
Indicate whether the statement is true or false
The marginal cost curve of pollution abatement
A) slopes upward because of the law of diminishing product. B) slopes upward because firms will maximize profits. C) slopes downward because of the law of diminishing marginal utility. D) slopes downward because of the law of diminishing returns.
?Kites /hourSnowboards /hourJesse81April123
Consider two individuals, Jesse and April, who hand paint kites and snowboards. Table 18.1 shows how much of each good Jesse and April can paint in one hour. April's opportunity cost of painting one snowboard is painting:
A. 1.5 kites. B. 3 kites. C. 4 kites. D. 12 kites.
If you are willing to sell your car business for $500,000 and someone offers you $420,000 for it, this transaction will generate:
a. There is no surplus created b. $80,000 worth of seller surplus and unknown amount of buyer surplus c. $40,000 worth of buyer surplus and $40,000 of seller surplus d. $80,000 worth of buyer surplus and unknown amount of seller surplus