Consider the budget line in the above figure. If the consumer has income of $240, what is the relative price of movies?

The "Discount Department Stores" industry is highly concentrated. What does this mean?

A) The sales volume in this industry is consistently high. B) There are many large stores such as Wal-Mart, Target, Kohl's, in this industry. C) A few large stores account for a significant portion of industry sales. D) There is cut-throat competition in this industry because there are no entry barriers.

In recent years, total compensation to workers has risen faster than the take-home pay of average workers. This implies that:

A. Something is wrong with the statistics on either compensation or take-home pay B. Fringe benefits have become a larger share of total worker compensation C. Direct payments have become a larger share of total worker compensation D. Workers' pay has been declining slightly in recent years