The price ceiling causes a

A. shortage of 45 units.
B. surplus of 85 units.
C. shortage of 85 units.
D. surplus of 40 units.

C. shortage of 85 units.

Economics

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If the marginal cost curve is below the average variable cost curve, then

A) average variable cost is increasing. B) average variable cost is decreasing. C) marginal cost must be decreasing. D) average variable cost could either be increasing or decreasing.

Economics

Assume there is no way to prevent someone from using an interstate highway, regardless of whether or not he or she helps pay for it. This characteristic is called

A. nonexcludability. B. nonrivalry. C. nontaxability. D. nondiscrimination.

Economics