Market power is defined as:
(a) The ability of a perfectly competitive firm to charge any price it wants.
(b) The strength of the equilibrium in the market.
(c) The ability of a seller to affect the market price of a good or service.
(d) All of the above.
Answer: (c) The ability of a seller to affect the market price of a good or service.
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A "conservative" would most likely argue in favor of
a. tax increases when fiscal stimulus is necessary, and spending cuts when fiscal restraint is necessary. b. tax cuts when fiscal restraint is necessary, and spending cuts when fiscal stimulus is necessary. c. tax cuts when fiscal stimulus is necessary, and spending cuts when fiscal restraint is necessary. d. spending increases when fiscal expansion is necessary, and tax increases when fiscal stimulus is necessary.
Which one of the following would be classified as employed?
a. a parent who works 50 to 60 hours per week caring for family members b. an construction worker vacationing in Florida who is on layoff due to bad weather conditions in his home state c. a 21-year-old full-time college student d. a 17-year-old high school student who works a newspaper route six hours per week