Which of the following products would most closely fit the competitive price-taker model?
a. stereo systems-there are many reputable brands.
b. beer-it has many consumers.
c. eggs-there are many producers of this relatively homogeneous product.
d. automobiles-there are substantial economies of scale in production.
C
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A variable measures
A) the degree to which something varies over time. B) something that always has the same value. C) something that can take on different values. D) factors that occur with high degrees of uncertainty.
The demand by all the consumers of a given good or service is the ________ for the good or service
A) market demand B) scheduled demand C) quantity demanded D) law of demand
If the Mexican economy is using all of its available resources to produce goods, it means that the Mexican economy is producing at a point
a. located at one of the endpoints of the production possibilities curve b. beyond (exterior to) its production possibilities curve c. on its production possibilities curve d. inside (interior to) its production possibilities curve e. closer to the origin than its production possibilities curve
Economists who believe that market economies are inherently unstable argue that the crisis of 2008 was primarily the result of
a. the expansionary policies of the Fed that caused the housing boom. b. housing regulations that undermined sound lending practices. c. the leveraged lending practices of banks and the fear that retarded both consumption and investment in the latter half of 2008. d. persistently high interest rates during the decade leading up to the crisis.