Refer to Table 3-2. The table above shows the demand schedules for caviar of two individuals (Ari and Sonia) and the rest of the market. At a price of $55, the quantity demanded in the market would be

If the demand curve facing the Acme Awl Company is tangent to its average total cost curve, all of the following statements are true except one. Which is the exception?

a. Economic profit is zero. b. A normal profit exists. c. Marginal cost must exceed marginal revenue. d. Acme has excess capacity. e. Firms have no incentive to enter or leave this industry.

What is the most important factor that explains differences in living standards across countries?

a. the quantity of money b. the level of unemployment c. productivity d. equality