Hans can do 4 loads of laundry per hour, and he can type 6 pages per hour. Maria can do 12 loads of laundry per hour, and she can type 8 pages per hour. Hans’s opportunity cost of typing one page is:

If the natural monopoly shown in the figure above is unregulated, it will make an economic profit of

A) $2 million. B) $4 million. C) $9 million. D) $0, that is, it earns a normal profit.

The East Asian model's approach to foreign trade has been

a. to give major incentives to exports b. to allow the market to determine whether firms export or import c. to follow import substitution policies d. to maintain state control over foreign trade operations e. none of the above

In response to the financial crisis which followed the housing bubble collapse, policy-makers feared stimulating demand would cause:

A. high inflation despite low economic growth and high unemployment. B. high inflation despite high economic growth and low unemployment. C. low economic growth despite low inflation and low unemployment. D. high unemployment despite low inflation and low economic growth.

Markets tend to

A. increase transaction costs. B. make exchange more difficult. C. reduce transaction costs. D. exist primarily in towns or cities.