The minimum possible average total cost of a computer repair shop is $40 and the minimum possible average variable cost is $30. If you operate this shop, you will shut it down immediately if the equilibrium price of computer repairs falls below
A. $40.
B. $35.
C. $30.
D. $20.
C. $30.
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If household saving decreases by $3 million, business saving increases by $1 million, and the government budget deficit increases by $2 million, then private saving ________ and public saving ________.
A. decrease; decreases B. increases; decreases C. does not change; increases D. increases; does not change
The median voter model predicts a strong tendency for both candidates to choose a position away from the middle of distribution
a. True b. False Indicate whether the statement is true or false
What is the amount that individuals would have been willing to pay, minus the amount that they actually paid?
a. efficiency b. consumer surplus c. social surplus d. deadweight loss
Suppose an increase in supply lowers the price from $10 to $8 and increases and increases the quantity demanded from 100 units to 130 units. Using the midpoint method, the elasticity of demand equals what
A) 1.17. B) 0.85. C) 0.26. D) 1.56. E) None of the above answers is correct.