A monopolist that chooses price
A) necessarily produces less than a monopolist that chooses quantity, hence the laws against price fixing.
B) produces the same amount as a monopolist that chooses quantity.
C) produces more than a monopolist that chooses quantity, thus the irony of laws against price fixing.
D) could produce more or less than a monopolist that chooses quantity since the demand curve is not specified.
B
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The government sets a price floor for corn which is above the equilibrium price of corn. As a result, ________
A) the corn market will be efficient B) a deadweight loss will be created C) a shortage of corn will be created D) none of the above answers is correct
Consider an economy where the only goods traded are coconuts and pineapples. Last year, 100 coconuts were sold at €1 apiece, and 200 pineapples were sold at €2.50 apiece. If the money supply was €100, what was velocity?
A. 30 B. 15 C. 6 D. 5