Suppose a consumer spends her income on two goods: music CDs and DVDs. The consumer has $200 to allocate to these two goods, the price of a CD is $10, and the price of a DVD is $20 . What is the maximum number of CDs the consumer can purchase?

Monopolistic competition tends to lead firms to have wasted capacity. Why?

Typically, as an economy begins to emerge from a recessionary phase of the business cycle

A) unemployment falls immediately. B) unemployment continues to rise. C) inflation begins to fall. D) investment begins to fall.