When demand changes and the demand curve shifts, equilibrium price and equilibrium quantity change in the same direction
Indicate whether the statement is true or false
TRUE
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The above figure shows a labor market with minimum wage equal to $16. In this figure, after taking account of search costs, what area equals the workers' surplus?
A) area A B) area B C) area C D) area D E) area E
A monopolist has total cost TC = Q2 + 10Q + 100 and marginal cost MC = 2Q + 10 . It faces demand Q = 130- P (so its marginal revenue is MR = 130 - 2Q). Its profit-maximizing output
a. 30 b. 25 c. 20 d. 10
If companies that were creating pollution had to pay the social cost of production, they would want to supply:
A. the same amount at any given price. B. the same amount at the equilibrium price. C. less at any given price. D. more at any given price.
Refer to the information provided in Figure 2.4 below to answer the question(s) that follow.
Figure 2.4According to Figure 2.4, as the economy moves from Point D to Point B, the opportunity cost of hybrid cars, measured in terms of motorcycles,
A. initially increases, then decreases. B. increases. C. remains constant. D. decreases.