A year-long drought that destroys most of the summer's crops would be considered a:

Compared to a similar perfectly competitive industry, a single-price monopoly

A) creates a deadweight loss and decreases economic profit. B) produces more output. C) creates a deadweight loss and decreases consumer surplus. D) is more efficient because there is no wasteful competition. E) sets a lower price because there is less competition.

Answer the following statement true (T) or false (F)

1) About two-thirds of all federal spending is for national defense. 2) A progressive tax takes relatively more from the rich than it does from the poor. 3) The benefits-received principle of taxation is used to support corporate and personal income taxes. 4) Sales taxes are proportional in relation to income because the same tax rate applies regardless of the size of a purchase.