micro final

refer to figure 9-2, without trade, consumer surplus is

$245

suppose a tax of $5 per unit is imposed on a good, and the tax causes the equilibrium quantity of the good to decrease from 200 units to 100 units. the tax decreases consumer surplus by $450 and decreases production by $300. the DWL from the tax is

$250

refer to scenario 13-10, the implicit cost for one birdhouse is

$8

refer to figure 2-4 the opportunity cost of obtaining 20 additional lamps by moving from

0 notepads

refer to figure 4-15, at the equilibrium price

400 units would be supplied and demanded

to raise productivity, policymakers could

all of the above are correct

consumer surplus in a market can be represented by the

area below the demand curve and above the price

as a group, oligopolists would always be better off if they would act collectively

as a single monopolist

when, in our analysis of the gains and losses from international trade, we assume a particular country is small, we are

assuming the domestic price before trade will continue to prevail once that country is opened up to trade with other countries

which of the following measures of cost is best described as "the cost of a typical unit of output if total cost is divided evenly over all the units produced"

average total cost

refer to figure 2-1, which arrow represents the flow of goods and services

b

a demand curve shows the relationship

between price and quantity demanded

what would happen to the equilibrium price and quantity of lattes if coffee shops began using a machine reduced the amount of labor necessary to produce them

both the equilibrium price and quantity would increase

the legislation passed by congress in 1914 to strengthen the government's powers and authorize private lawsuits was the

clayton act

refer to figure 9-4, with race, nicaragua

imports 150 calculators

a movement upward and to the right along a supply curve is called

increase in supply

a book store that has market power can

influence the market price for the books it sells

a person can benefit from specialization and trade by obtaining a good at a price that is

lower than his or her opportunity costs

the decisions of firms and households are guided by prices and self-interest in a

market economy

after initial success, the opec cartel saw the price of oil and the revenues of its members decline due, in part to

opec members failing to produce their agreed upon production levels

refer to figure 10-9 panel (c ) the market equilibrium price is

p4b

the fact that monopolistically competitive firms charge a price that exceeds marginal cost is responsible for the

persistence of positive profits into the long run for monopolistically competitive firms

refer to figure 7-17, when the price is p1, area B+C represents

producer surplus

economists assume that monopolists behave as

profit maximizers

for markets to work well, there must be

property rights

refer to figure 10-9, panel (b) and panel (c ) the overuse of antibiotics leads to development of antibiotic-resistant diseases. Therefore, the socially optimal quantity of antibiotics is represented by

q3

when price is below average variable cost, a firm in a competitive market will

shut down and incur fixed costs

the production possibilities frontier illustrates

the combination of output that an economy should produce

which of the following statements is not correct

the government should always intervene to improve monopoly inefficiency

which of the following events would cause a movement upward and to the right along the supply curve for mangos?

the price of mangos rises

which of the following is not a typical solution to the "tragedy of the commons"?

turning the common resource into a club good

refer to figure 2-4 it is not possible for this economy to produce at point

v