In perfect price discrimination, consumer surplus is zero because each consumer pays:
a. the market price

If I is gross investment, K is capital stock, and "d" is the ratio of replacement investment to the capital stock, then Tobin's q is

A) q = I/K - d. B) I = Kq + d. C) I/K = j (q - 1 ) = d D) q = I/K (j - 1 ) - d.

Suppose that corn prices rise significantly. If farmers expect the price of corn to continue rising relative to other crops, then we would expect:

A. the supply of ethanol, a corn-based product, to increase. B. consumer demand for wheat to fall. C. the supply to increase as farmers plant more corn. D. the supply to fall as farmers plant more of other crops.