It is appropriate to use the supply-and demand-model if, in a market,
A) everyone is a price taker with full information about the price and quality of the good.
B) firms sell identical products.
C) costs of trading are low.
D) All of the above.
D
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Using the table above, the working-age population is
A) 155 million. B) 170 million. C) 195 million. D) 250 million. E) 220 million.
The liquidity effect indicates that expansionary monetary policy causes
A) interest rates to fall. B) interest rates to rise. C) bond prices to fall. D) inflation.
The marginal physical product of labor is the
A) total output divided by the number of labor employed. B) wage that must be paid to labor. C) value of sales divided by additional labor used. D) change in output generated by a unit change in labor.
Products produced in oligopoly markets can be homogeneous.
Answer the following statement true (T) or false (F)