If quantity supplied is either greater or less than the equilibrium quantity, then all of the following are true except:
a. total loss of surplus will depend on the shape of the demand and supply curves.
b. the resulting loss of consumer surplus will depend on the price of the good.
c. total loss of surplus will depend on the price of the good.
d. there will be an inefficient allocation of resources.
c
Economics
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An economic rent is created when
(a) organized labor pushes its members' wages above those of unorganized labor. (b) market forces determine prices and output. (c) businesses take market prices as given. (d) laborers accept competitive wages.
Economics
In the three months before a $1 per pack cigarette tax took effect in Alaska, smokers bought 175 million more cigarettes than during the same period a year earlier. What explains this behavior by consumers?
Economics