The graph shown portrays a subsidy to buyers. The amount of money spent on this subsidy by the government is:

The long-run Phillips curve represents the relationship between the inflation rate and the unemployment rate when there is no ________ unemployment

A) cyclical B) frictional C) seasonal D) structural E) natural

John's utility of wealth curve is shown in the above figure. He currently has wealth of $20,000 and there is a 10 percent chance of losing it all. John is

A) willing to pay any price for insurance. B) willing to pay no more than $2,000 for insurance. C) willing to pay no more than $3,000 for insurance. D) willing to pay $5,000 for insurance.