A shift from S1 to S2 causes equilibrium price to __________ and quantity to __________.

If the government attempts to force a natural monopoly to charge a price equal to marginal cost,

A) the natural monopoly will shut down. B) the natural monopoly will still make high profits. C) the natural monopoly's marginal cost curve will shift up. D) total welfare is maximized.

To know whether a particular situation for a family, business, or government involves an equilibrium or not, one must

A) understand the circumstances fully. B) determine whether the accounts are in balance. C) determine whether the credits equal the debits. D) determine whether a particular portion of the accounts are in balance or not.