The figure illustrates the market for bagels. Initially the market is in equilibrium, Then the number of bagels produced is cut from 20 to 10 an hour and the price rises to $2.00 per bagel. Consumer surplus decreases by ________
A) $5.00 an hour
B) $2.50 an hour
C) $7.50 an hour
D) $0.50 a bagel
C
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The combined GDP of developing countries constitutes approximately
a. 5 percent of global GDP. b. 20 percent of global GDP. c. 30 percent of global GDP. d. 40 percent of global GDP.
It was once common for people to have servants who helped with the cooking and cleaning. Use the cost disease of the personal services dilemma to explain why these services have declined, even though one would expect an increased use in this age of the two-worker household
What term refers to the idea that society has limited resources and therefore cannot produce all the goods and services people wish to have?
a. inefficiency b. inequality c. scarcity d. market failure
Which of the following is true about a perfectly competitive firm in the long run and in the short run?
A. The supply curve in the short run is usually steeper than the supply curve in the long run. B. The supply curve in the short run is usually flatter than the supply curve in the long run. C. The demand curve in the short run is usually steeper than the marginal cost curve in the long run. D. The supply curve in the short run is usually steeper than the average total cost curve in the long run.