If the market price rises from P0 to P2 in the above figure, then there is a
A) surplus equal to the distance Q0, Q2.
B) surplus equal to the distance Q1, Q2.
C) shortage equal to the distance Q0, Q2.
D) shortage equal to the distance Q1, Q2.
B
Economics
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Refer to Table 9-2. Assume the market basket for the consumer price index has two products — bread and milk — with the following values in 2011 and 2016 for price and quantity: The Consumer Price Index for 2016 equals
A) 118. B) 116. C) 86. D) 85.
Economics
Long-run profit earned by a monopolistically competitive firm is driven to the competitive level due to a(n)
a. change in the technology that the firm utilizes. b. shift of its demand curve. c. shift of its supply curve. d. increase in the firm's average cost of production.
Economics