In the above figure, if a single-price monopolist maximized its profit, the deadweight loss in the market is equal to the area
A) ace.
B) acg.
C) ecg.
D) bch.
B
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Suppose the marginal benefit the owner of a cherry orchard derives from hiring Lauren to pick cherries is $8 per hour. If the wage rate that Lauren earns is $7 per hour, then the orchard owner's surplus from Lauren's labor is ________ per hour
A) $7 B) $15 C) $1 D) $8 E) $0
During the 1990s, Japan experienced periods of deflation and very low nominal interest rates, approaching zero percent. Why would lenders of money agree to a nominal interest rate of almost zero?
What will be an ideal response?
The marginal benefit of acquiring additional information tends to
a. be zero if the marginal cost of information is zero b. increase and then decrease as additional information is obtained c. be smaller, the smaller the quantity of information the individual already has obtained d. increase as additional information is obtained e. decrease as additional information is obtained
The resource market comprises of households and firms where the firms sell their resources to the households
a. True b. False Indicate whether the statement is true or false