Deadweight loss refers to the loss in ________
A) producer surplus due to a fall in the market price
B) consumer surplus due to an increase in the market price
C) total surplus due to a market distortion such as an externality
D) total surplus due to a change in consumers' preferences
C
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A society is saving lives (productively) efficiently if
a. there are no unemployed resources in the health care sector b. there are no unemployed resources anywhere in the economy c. there is no way to save more lives d. there is no way to save more lives without sacrificing some other goods or services e. the opportunity cost of saving one more life is zero
Recall the Application about the demand and price for margarine to answer the following question(s).Recall the Application. Between 2000 and 2009, total U.S. consumption of margarine ________ and the price, in real terms, ________.
A. doubled; doubled B. decreased by roughly half; decreased by roughly half C. decreased by roughly half; stayed roughly the same D. doubled; stayed roughly the same