The above figure shows the market for rice in Japan. SDomestic represents the domestic supply curve, and Sworld represents the world supply curve. A $1 per unit tariff has the same effect on producer and consumer surplus as a quota of
A) 25 units.
B) 30 units.
C) 35 units.
D) 65 units.
C
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A barter economy is an economy where
A) goods and services are exchanged for money. B) goods and services are exchanged for liabilities. C) money is exchanged for goods and services. D) goods and services are exchanged for other goods and services.
Compared to those with lower incomes, families with higher incomes are more likely to be headed by a
a. person age 65 years and older. b. husband and wife team with one but not the other in the labor force. c. single-parent. d. college graduate.
Which statement is true?
A. Most strikes cause serious economic disruptions. B. The threat of a strike provides the motivation necessary to make collective bargaining work. C. Most labor unions enter collective bargaining hoping for a strike. D. None of the choices are true.
Peter consumes bags of potato chips and cans of soft drink. The marginal utility of bags of potato chips is 10 utils per bag and the marginal utility of cans of soft drink is 50 utils per can. Potato chips cost $0.50 a bag, and a can of soft drink costs
$1.00. What should Peter do? A) Peter should eat more chips, because they cost less. B) Peter should buy more chips and less soft drink. C) Peter should buy more soft drink, because it costs less. D) Peter should buy more soft drink and fewer potato chips.