econ questions to review - basics of the economy
Which of the following is a reason a government in a mixed market would allow a monopoly?
They have an interest in keeping costs down for a public utility.
The price of the toothpaste that George uses goes up beyond what George would like to pay, so he is most likely to..
Choose a supplementary item
In the early 2000s, British Airways and Virgin Airways met to agree on increasing an extra price of fuel surcharges in response to rising oil prices. Between 2004 and 2006, surcharges on air tickets rose from £5 to £60. In 2007, British Airways was fined £270 million for this illegal arrangement.
Collusion
In 2010 Russia was affected by a significant draught. Russia is a major producer and exporter of several agricultural commodities. As a result of the draught, Russia reduced some of its agricultural exports.
Reduced supply and unchanged demand
A local Food Lion grocery store orders 200 cases of Pepsi each week and sells them at a price of $6.00 per case. At the end of the first week, they have only sold 160 cases. What economic situation is the grocery store facing and what will have to happen to price in order for equilibrium to be attained?
Surplus; price will fall
Which of the following statements about factors of production is false?
The factor of production termed capital means the money which the owners of firms need in order to set their firms up.
There is currently a shortage of Lunchables, the lunchtime variety snack pack popular with children and adults alike. From the brand's kid-friendly charcuterie board meal of turkey, cheese, and crackers to its make-your-own pizza pack, grocery stores have been wiped clean, shoppers on Reddit report. A spokesperson from Kraft Heinz, which owns Lunchables, ... said the company has seen Lunchables' sales grow by double digits for the first time in five years. "Compared to 2019, nearly two million more households bought Kraft Heinz brands in the second quarter of 2021," the spokesperson said. Source; Allie Hogan, BestLifeOnline.com, 25 Aug 2021
d. Increase in demand
When the price of jet fuel goes up, what will airlines do to continue to earn a profit?
increase the price of tickets
Edith considers skipping out on doing her chores, but after thinking she would feel bad for disappointing her family, she decides to do them anyway.
intrinsic disincentive
Which of the following is least competitive?
monopoly
At a price of $299.95, the manufacturer of a portable gas-powered generator is willing to produce 19,000 units per quarter. At a price of $349.95, it is likely that the manufacturer will be willing to produce
more than 19,000 units per quarter