Refer to the figure above. What is the consumer surplus when Lithasia engages in trade and the government imposes a $1 tariff on chairs?

When taxes are cut, aggregate demand ________ and aggregate supply ________

A) decreases; increases B) increases; increases C) increases; does not change D) increases; decreases E) decreases; decreases

A perfectly competitive firm's pricing decision depends on:

a. whether the firm wants to maximize profits or not. b. whether the firm wants to maximize sales revenue or not. c. the firm's costs. d. whether it wants to compete with other firms in the market or not. e. the market supply and demand.