Eco Final 4-6

less than or greater than the competitive equilibrium quantity.

Deadweight losses occur when the quantity of an output produced is less than the competitive equilibrium quantity. greater than the competitive equilibrium quantity. such that the marginal benefit of the output is just equal to the marginal cost. less than or greater than the competitive equilibrium quantity.

leftward shift in the current supply of corn.

Farmers withholding some of their current corn harvest from the market because they anticipate a higher price of corn in the near future would cause a rightward shift in the current supply of corn. movement up along the current supply curve of corn. leftward shift in the current supply of corn. movement down along the current supply curve of corn.

Price of the rides decreased, and the quantity of rides have increased.

How have companies like Uber and Lyft affected the ride-sharing market? Price of the rides decreased, and the quantity of rides have increased. Price and quantity of the rides have increased. Price and quantity of the rides have decreased. Price of the rides increased, and the quantity of rides have decreased.

the quantity demanded will exceed the quantity supplied.

If a price ceiling is set below the equilibrium price in a market the quantity demanded will exceed the quantity supplied. the quantity supplied will exceed the quantity demanded. surpluses of the commodity will develop. rationing will be unnecessary.

the quantity supplied will exceed the quantity demanded.

If a price floor is set above the equilibrium price in a market the quantity supplied will exceed the quantity demanded. shortages will develop. rationing will be unnecessary. the quantity demanded will exceed the quantity supplied.

various quantities that individual sellers are willing and able to supply at different prices.

In order to derive the market supply curve from individual supply curves, we add up the total number of sellers in the market at a given time. various prices that individual sellers are charging for the quantities of the product available. various quantities that individual sellers are willing and able to supply at different prices. costs that all individual sellers incur in producing the product.

a consumer surplus of $9 and Nathan experiences a producer surplus of $3.

Jennifer buys a piece of costume jewelry for $33 for which she was willing to pay $42. The minimum acceptable price to the seller, Nathan, was $30. Jennifer experiences a producer surplus of $9 and Nathan experiences a consumer surplus of $3. a consumer surplus of $12 and Nathan experiences a producer surplus of $3. a producer surplus of $9 and Nathan experiences a producer surplus of $12. a consumer surplus of $9 and Nathan experiences a producer surplus of $3.

is the difference between the minimum price producers are willing to accept for a product and the higher equilibrium price.

Producer surplus is the difference between the maximum price consumers are willing to pay for a product and the lower equilibrium price. rises as equilibrium price falls. is the difference between the minimum price producers are willing to accept for a product and the higher equilibrium price. is the difference between the maximum price consumers are willing to pay for a product and the minimum price producers are willing to accept.

the production technique minimizes cost.

Productive efficiency occurs at the point where the production technique minimizes cost. consumer surplus exceeds producer surplus by the greatest amount. marginal benefit exceeds marginal cost by the greatest amount. the production technique minimizes economic surplus.

surplus.

The difference between the actual price that a producer receives and the minimum acceptable price the producer is willing to accept is called the producer utility. revenues. costs. surplus.

consumer surplus.

The difference between the maximum price a consumer is willing to pay for a product and the actual price the consumer pays is called consumer demand. market failure. utility. consumer surplus.

Consumers face a shortage of the good and decreased consumer surplus.

The intention of a price ceiling is to help consumers by forcing a price that is below the equilibrium price. What is one unintended consequence of this policy? Foreign producers are hurt by the lower price and economic surplus is increased. Consumers face a shortage of the good and decreased consumer surplus. Consumers face a shortage of the good and increased consumer surplus. Producers face a shortage or resources and economic surplus is decreased.

Economic surplus decreases.

The intention of a price floor is to help producers by setting a higher than equilibrium price. What is one unintended consequence of this policy? Economic surplus decreases. Correct Consumer surplus increases. Producer surplus increases. Incorrect There is more scarcity in the economy.

beach towel production is not allocatively efficient but is productively efficient.

The marginal benefit of an additional beach towel is $12. The marginal cost of producing an additional beach towel is $8. If producers are minimizing the average costs of production, then we can conclude: beach towel production is not allocatively efficient but is productively efficient. beach towel production is neither allocatively nor productively efficient. beach towel production is allocatively efficient but not productively efficient. beach towel production is both allocatively and productively efficient.

$3

The minimum acceptable price for a product that producer Sam is willing to receive is $15. The price he could get for the product in the market is $18. How much is Sam's producer surplus? $270 $3 $33 $45

the current price is lower than the equilibrium price.

There is a shortage in a market for a product when quantity demanded is lower than quantity supplied. supply is less than demand. the current price is lower than the equilibrium price. demand is less than supply.

supply curve has shifted to the left.

When economists say that the supply for a product has decreased, they mean that the supply curve has shifted to the left. product has become more expensive and thus consumers are buying less of it. supply curve has shifted to the right. product has become particularly abundant for some reason.

Limits on interest rates charged by credit card companies.

Which of the following is an example of a price ceiling? Subsidies for apartment rent in major cities. Limits on interest rates charged by credit card companies. Correct Minimum-wage laws for unskilled workers. Price supports for agricultural products.

The price of steel and aluminum increase.

Which of the following scenarios would likely shift the supply of cars to the left (decrease in supply)? Automobile workers become more productive. The price of cars decreases. The price of steel and aluminum increase. The price of automotive paint decreases.

As price increases, producers are willing and able to put more of the good on the market for sale.

Which of the following statements is true about supply? Supply refers to the amount of inventory that sellers have in their warehouses. As price decreases, producers are willing and able to put more of the good on the market for sale. As price increases, producers are willing and able to put more of the good on the market for sale. There is an inverse relationship between price and quantity supplied.

a decrease in the wages of workers employed by cell-phone companies

Which of the following would cause a rightward shift of the supply curve for cell-phone services? a decrease in the wages of workers employed by cell-phone companies an increase in the taxes paid by cell-phone service providers a decrease in a subsidy given to cell-phone service providers an increase in the price of cell-phone services

price of the product

Which one of the following is not assumed to be constant when the supply curve for a product is drawn? state of technology price of the product number of producers price of inputs used to make the product

movement up and to the right along the supply curve.

An "increase in the quantity supplied" suggests a leftward shift of the supply curve. movement down and to the left along the supply curve. movement up and to the right along the supply curve. rightward shift of the supply curve.

supplied, even if prices of music downloads stayed the same.

An increase in the supply of music downloads indicates that more music downloads will be supplied, because music download prices have decreased. demanded, because sellers are putting music downloads on sale. supplied, even if prices of music downloads stayed the same. demanded, because sellers are selling more music downloads.

the equilibrium price to rise, but the equilibrium quantity to be indeterminate from the information given.

An infestation of banana spiders makes it extremely difficult to harvest Indian bananas. The U.S. Surgeon General has stated that there are numerous health benefits from eating bananas. As a result, one should expect: the equilibrium price to be indeterminate from the information given, but the equilibrium quantity to fall. the equilibrium price to rise, but the equilibrium quantity to be indeterminate from the information given. the equilibrium price to be indeterminate from the information given, but the equilibrium quantity to rise. the equilibrium price to fall, but the equilibrium quantity to be indeterminate from the information given.

amount of apples that will be available at various prices will decline.

Because of the significant snow fall in the plains this year, the supply of fertilizer to Washington State's apple farmers substantially decreased. As a result, the price of fertilizer has increased in Washington State. This statement indicates the supply for apples will necessarily increase. amount of apples that will be available at various prices will decline. price of apples will decrease. demand for apples will necessarily decrease.

$1.

Charlie is willing to pay $10 for a T-shirt that is priced at $9. If Charlie buys the T-shirt, then his consumer surplus is $0.90. $1. $90. $19.

is the difference between the maximum price consumers are willing to pay for a product and the lower equilibrium price.

Consumer surplus is the difference between the maximum price consumers are willing to pay for a product and the minimum price producers are willing to accept. is the difference between the maximum price consumers are willing to pay for a product and the lower equilibrium price. rises as equilibrium price rises. is the difference between the minimum price producers are willing to accept for a product and the higher equilibrium price.

decreasing incomes of people in that city.

A newspaper reports that the average price of new homes in a certain city had decreased, and the number of new homes sold had also decreased. This situation is probably caused by decreasing incomes of people in that city. higher government subsidies to new homebuyers in that city. a rising population in that city. decreasing costs of construction materials and services in that city.

demand, left

A tax on buyers will cause the ________ schedule to shift ________. demand, right supply, left demand, left supply, right

supply, left

A tax on suppliers will cause the ________ schedule to shift ________. demand, right supply, left demand, left supply, right

decrease in supply.

A television station reports that the price of coffee has increased but the quantity traded in the market has decreased. This situation would be caused by a(n) increase in demand. decrease in supply. increase in supply. decrease in demand.

increase in demand but the supply remaining the same.

After an NFL team wins a Super Bowl the next year the tickets are much harder to find and more expensive. This is caused by a(n) decrease in supply but the demand remaining the same. decrease in demand but the supply remaining the same. increase in supply but the demand remaining the same. increase in demand but the supply remaining the same.

quantity supplied to decrease.

All else being equal, if the price of a product decreases, we would expect supply to decrease. quantity supplied to decrease. Correct demand to increase. quantity supplied to increase.

the combined amounts of consumer surplus and producer surplus are maximized.

Allocative efficiency occurs only at that output where the areas of consumer and producer surplus are equal. the combined amounts of consumer surplus and producer surplus are maximized. marginal benefit exceeds marginal cost by the greatest amount. consumer surplus exceeds producer surplus by the greatest amount.