Arthur buys a new cell phone for $150. He receives consumer surplus of $150 from the purchase. What value does Arthur place on his cell phone?
A) $0
B) $150
C) $225
D) $300
Answer: D
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Endogenous growth theory supports the conclusion that ________
A) government spending cannot influence the level of research and development B) increased government spending on research and development is counterproductive C) per capita income growth is a function of real factors, such as the supply of money D) increased government spending on research and development is useful
The use of seat belts and other automobile safety features making bicycling more hazardous can be explained by the economic concept known as:
A. the real-nominal principle. B. the marginal principle. C. the principle of voluntary exchange. D. the principle of diminishing returns.
Using the ZZ/Y and NX graphs, illustrate graphically and explain what effect a reduction in foreign output (Y*) will have on output, exports, imports, and net exports. Clearly label all curves and clearly label the initial and final equilibria
What will be an ideal response?
When anticipated inflation occurs regularly, the degree of risk associated with investments in the economy
A. decreases. B. remains stable. C. falls to zero. D. increases.