Suppose a tax on buyers has been imposed in the graph shown. Once the tax is in place, the sellers experience:
A. a decrease in supply.
B. an increase in supply.
C. a decrease in quantity supplied.
D. an increase in quantity supplied.
C. a decrease in quantity supplied.
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Double markup problems arise when
a. upstream firms have market power b. downstream firms have no market power c. upstream and downstream products are unrelated in demand d. upstream and downstream firm's pricing decisions tend to increase the demand for the other product
What is the "unit of account" function of money?
a. A common measurement of the relative value of different goods and services. b. The ability of money to hold value over time c. The quality of money not to be hoarded because of its commodity value. d. The function of money to be widely accepted I exchange for goods and services.