In Figure 5-2, consumer’s surplus is measured by the area

A. ABC.
B. OBCD.
C. OACD.
D. DCE.

Answer: A

Economics

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Refer to the figure above. In free trade A will import

A) 700 units from country C. B) 700 units from C and 600 units from B. C) 600 units from C. D) 600 units from C and 400 units from B.

Economics

Economic rent is

A) the return to owners of farmland. B) the return to landlords. C) a payment for the use of any resource above its opportunity cost. D) a payment for land, an apartment, or a house that one does not own.

Economics