Refer to Table 4-1. The table above lists the highest prices three consumers, Tom, Dick, and Harriet, are willing to pay for a short-sleeved polo shirt. If the price of the shirts falls from $28 to $20
A) Harriet will receive more consumer surplus than Tom or Dick.
B) Tom will buy two shirts; Dick and Harriet will each buy one shirt.
C) consumer surplus increases from $14 to $35.
D) consumer surplus will increase from $70 to $95.
C
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Which statement below is true for a price searcher?
A) Net revenue can only be positive. B) Net revenue can only be negative. C) Net revenue can only be zero. D) Net revenue can be positive, negative, or zero.
Explain the "Unfair Trade Practices" argument as a case against free trade
What will be an ideal response?
In the above figure, assuming Firm 1 and Firm 2 are the sole producers in the industry, the industry quantity supplied at price P1 is equal to
A) Q1 + Q2. B) Q1 + Q3. C) Q2 + Q4. D) Q4 - Q2.
A trade surplus occurs when:
A. exports exceed imports, so that a country is producing more than it is consuming. B. imports exceed exports, so that a country is producing more than it is consuming. C. imports exceed exports, so that a country is consuming more than it is producing. D. exports exceed imports, so that a country is consuming more than it is producing.