Economics

Consumer surplus in a market for a product would be equal to the area under the demand curve if

Consumer surplus in a market for a product would be equal to the area under the demand curve if

Consumer surplus in a market for a product would be equal to the area under the demand curve if
A) producer surplus was equal to zero.
B) marginal cost was equal to the market price.
C) the product was produced in a perfectly competi

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Sydnie

The area above the market supply curve and below the market price

The area above the market supply curve and below the market price

The area above the market supply curve and below the market price
A) is equal to the total amount of producer surplus in a market.
B) is equal to the marginal cost of the last unit produced.
C) is equal to the total amount of economic

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Sydnie

The additional cost to a firm of producing one more unit of a good or service is the

The additional cost to a firm of producing one more unit of a good or service is the

The additional cost to a firm of producing one more unit of a good or service is the
A) minimum cost.
B) total cost.
C) opportunity cost.
D) marginal cost.

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Sydnie

Each point on a demand curve shows

Each point on a demand curve shows

Each point on a demand curve shows
A) the willingness of consumers to purchase a product at different prices.
B) the consumer surplus received from purchasing a given quantity of a product.
C) the economic surplus received from purcha

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Sydnie

Which of the following statements best describes the concept of consumer surplus?

Which of the following statements best describes the concept of consumer surplus?

Which of the following statements best describes the concept of consumer surplus?
A) "I paid $89 for a microwave oven last week. This week the same store is selling the same microwave oven for $69."
B) "I sold my hard copy o

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Sydnie

The additional benefit to a consumer from consuming one more unit of a good or service

The additional benefit to a consumer from consuming one more unit of a good or service

The additional benefit to a consumer from consuming one more unit of a good or service
A) is equal to consumer surplus.
B) is equal to the opportunity cost of consuming the good or service.
C) is equal to marginal benefit.
D) is

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Sydnie

A consumer is willing to purchase a product up to the point where

A consumer is willing to purchase a product up to the point where

A consumer is willing to purchase a product up to the point where
A) he spends all of his income.
B) the marginal benefit is equal to the price of the product.
C) the quantity demanded is equal to the quantity supplied.
D) he is

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Sydnie

The maximum price that a buyer is willing to pay for a good measures his

The maximum price that a buyer is willing to pay for a good measures his

The maximum price that a buyer is willing to pay for a good measures his
A) consumer surplus.
B) marginal benefit.
C) willingness to pay.
D) producer surplus.

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Sydnie

Monique buys a new television for $795. She receives consumer surplus of $355 from the purchase. How

Monique buys a new television for $795. She receives consumer surplus of $355 from the purchase. How

Monique buys a new television for $795. She receives consumer surplus of $355 from the purchase. How much does Monique value her television?
A) $355
B) $440
C) $795
D) $1150

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Sydnie

Brett buys a new cell phone for $100. He receives consumer surplus of $80 from the purchase. How muc

Brett buys a new cell phone for $100. He receives consumer surplus of $80 from the purchase. How muc

Brett buys a new cell phone for $100. He receives consumer surplus of $80 from the purchase. How much does Brett value his cell phone?
A) $180
B) $100
C) $80
D) $20

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Sydnie

Marco goes to the pet store to buy a dozen Koi fish for his new Koi pond. He is willing to pay $200

Marco goes to the pet store to buy a dozen Koi fish for his new Koi pond. He is willing to pay $200

Marco goes to the pet store to buy a dozen Koi fish for his new Koi pond. He is willing to pay $200 for the dozen fish, but buys them for a total of $140. Marco's consumer surplus from the purchase is
A) $5.
B) $60.
C) $140.

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Sydnie

Juanita goes to the Hardware Emporium to buy a new circular saw. She is willing to pay $120 for a ne

Juanita goes to the Hardware Emporium to buy a new circular saw. She is willing to pay $120 for a ne

Juanita goes to the Hardware Emporium to buy a new circular saw. She is willing to pay $120 for a new saw, but buys one on sale for $85. Juanita's consumer surplus from the purchase is
A) $35.
B) $85.
C) $120.
D) $205.

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Sydnie

Suppose there are two cities that have rent controlled apartments. In one city (Albany) all apartmen

Suppose there are two cities that have rent controlled apartments. In one city (Albany) all apartmen

Suppose there are two cities that have rent controlled apartments. In one city (Albany) all apartments are subject to rent control; in the other city (Halftrack) one-half of the apartments are rent controlled. Which of the following is most likely to

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Sydnie

In cities with rent control, people have an incentive to list their apartments on sites such as Airb

In cities with rent control, people have an incentive to list their apartments on sites such as Airb

In cities with rent control, people have an incentive to list their apartments on sites such as Airbnb at rents ________ the controlled rates, because rent control causes a ________ of apartments.
A) above; surplus
B) above; shortage
C

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Sydnie

The difference between the ________ for a good and the ________ is called consumer surplus.

The difference between the ________ for a good and the ________ is called consumer surplus.

The difference between the ________ for a good and the ________ is called consumer surplus.
A) highest price a consumer is willing to pay; lowest price a consumer is willing to pay
B) lowest price a consumer is willing to pay; price the con

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Sydnie

Two economists from Northwestern University estimated the benefit households received from subscribi

Two economists from Northwestern University estimated the benefit households received from subscribi

Two economists from Northwestern University estimated the benefit households received from subscribing to broadband Internet service. The economists found that
A) the consumer surplus from dial-up Internet service exceeded the consumer surplus f

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Sydnie

The difference between the ________ and the ________ from the sale of a product is called producer s

The difference between the ________ and the ________ from the sale of a product is called producer s

The difference between the ________ and the ________ from the sale of a product is called producer surplus.
A) lowest price a firm would have been willing to accept; price it actually receives
B) highest price a firm wold have been willing

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Sydnie

Suppliers will be willing to supply a product only if

Suppliers will be willing to supply a product only if

Suppliers will be willing to supply a product only if
A) the price received is less than the additional cost of producing the product.
B) the price received is at least equal to the additional cost of producing the product.
C) the pric

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Sydnie

A demand curve shows (Multiple Choice Question)

A demand curve shows (Multiple Choice Question)

A demand curve shows
A) the willingness of consumers to buy a product at different prices.
B) the willingness of consumers to substitute one product for another product.
C) the relationship between the price of a product and the dema

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Sydnie

A ________ curve shows the marginal cost of producing one more unit of a good or service.

A ________ curve shows the marginal cost of producing one more unit of a good or service.

A ________ curve shows the marginal cost of producing one more unit of a good or service.
A) demand
B) supply
C) production possibilities
D) marginal benefit

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Sydnie

Which of the following statements is true?

Which of the following statements is true?

Which of the following statements is true?
A) Consumer surplus measures the total benefit from participating in a market.
B) When a market is in equilibrium consumer surplus equals producer surplus.
C) Consumer surplus measures the n

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Sydnie

Consumer surplus in a market for a product would be equal to ________ if the market price was zero.A

Consumer surplus in a market for a product would be equal to ________ if the market price was zero.A

Consumer surplus in a market for a product would be equal to ________ if the market price was zero.
A) zero
B) the area between the supply curve and the demand curve
C) the area above the supply curve
D) the area under the demand

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Sydnie

The total amount of producer surplus in a market is equal to

The total amount of producer surplus in a market is equal to

The total amount of producer surplus in a market is equal to
A) the difference between quantity supplied and quantity demanded.
B) the area above the market supply curve and below the market price.
C) the area above the market suppl

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Sydnie

The area ________ the market supply curve and ________ the market price is equal to the total amount

The area ________ the market supply curve and ________ the market price is equal to the total amount

The area ________ the market supply curve and ________ the market price is equal to the total amount of producer surplus in a market.
A) above; above
B) above; below
C) below; above
D) below; below

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Sydnie

Marginal cost is (Multiple Choice)

Marginal cost is (Multiple Choice)

Marginal cost is
A) the total cost of producing one unit of a good or service.
B) the average cost of producing a good or service.
C) the difference between the lowest price a firm would have been willing to accept and the price it a

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Sydnie

Each point on a ________ curve shows the willingness of consumers to purchase a product at different

Each point on a ________ curve shows the willingness of consumers to purchase a product at different

Each point on a ________ curve shows the willingness of consumers to purchase a product at different prices.
A) demand
B) supply
C) production possibilities
D) marginal cost

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Sydnie

Which of the following statements best describes the concept of consumer surplus?

Which of the following statements best describes the concept of consumer surplus?

Which of the following statements best describes the concept of consumer surplus?
A) "Safeway was having a sale on Dreyer's ice cream so I bought 3 quarts."
B) "I was all ready to pay $300 for a new leather jacket that

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Sydnie

Marginal benefit is equal to the ________ benefit to a consumer receives from consuming one more uni

Marginal benefit is equal to the ________ benefit to a consumer receives from consuming one more uni

Marginal benefit is equal to the ________ benefit to a consumer receives from consuming one more unit of a good or service
A) total
B) unintended
C) additional
D) surplus

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Sydnie

Consumers are willing to purchase a product up to the point where

Consumers are willing to purchase a product up to the point where

Consumers are willing to purchase a product up to the point where
A) the marginal benefit of consuming the product is equal to the marginal cost of consuming it.
B) the consumer surplus is equal to the producer surplus.
C) the margi

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Sydnie

Willingness to pay measures (Multiple Choice Question)

Willingness to pay measures (Multiple Choice Question)

Willingness to pay measures
A) the maximum price a buyer is willing to pay for a product minus the amount the buyer actually pays for it.
B) the amount a seller actually receives for a good minus the minimum amount the seller is willing to

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Sydnie

Arthur buys a new cell phone for $150. He receives consumer surplus of $150 from the purchase. How m

Arthur buys a new cell phone for $150. He receives consumer surplus of $150 from the purchase. How m

Arthur buys a new cell phone for $150. He receives consumer surplus of $150 from the purchase. How much does Arthur value his cell phone?
A) $0
B) $150
C) $225
D) $300

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Sydnie

Lucinda buys a new GPS system for $250. She receives consumer surplus of $75 from the purchase. How

Lucinda buys a new GPS system for $250. She receives consumer surplus of $75 from the purchase. How

Lucinda buys a new GPS system for $250. She receives consumer surplus of $75 from the purchase. How much does Lucinda value her GPS system?
A) $75
B) $175
C) $250
D) $325

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Sydnie

Frieda is at her local florist to buy a dozen roses. She is willing to pay $75 for the roses, and bu

Frieda is at her local florist to buy a dozen roses. She is willing to pay $75 for the roses, and bu

Frieda is at her local florist to buy a dozen roses. She is willing to pay $75 for the roses, and buys them for $75. Frieda's consumer surplus from the purchase is
A) $150
B) $75
C) $37.50
D) $0

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Sydnie

Paul goes to Sportsmart to buy a new tennis racquet. He is willing to pay $200 for a new racquet, bu

Paul goes to Sportsmart to buy a new tennis racquet. He is willing to pay $200 for a new racquet, bu

Paul goes to Sportsmart to buy a new tennis racquet. He is willing to pay $200 for a new racquet, but buys one on sale for $125. Paul's consumer surplus from the purchase is
A) $325
B) $200
C) $125
D) $75

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Sydnie

In a city with rent-controlled apartments, all of the following are true except

In a city with rent-controlled apartments, all of the following are true except

In a city with rent-controlled apartments, all of the following are true except
A) apartments usually rent for rates lower than the market rate.
B) apartments are often in shorter supply than they would be without rent control.
C) it u

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Sydnie

In New York City, about 1 million apartments are subject to rent control by the local government. Re

In New York City, about 1 million apartments are subject to rent control by the local government. Re

In New York City, about 1 million apartments are subject to rent control by the local government. Rent control
A) puts a legal limit on the rent that landlords can charge for an apartment.
B) is a price floor which sets a minimum rent for

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Sydnie

The difference between the highest price a consumer is willing to pay for a good and the price the c

The difference between the highest price a consumer is willing to pay for a good and the price the c

The difference between the highest price a consumer is willing to pay for a good and the price the consumer actually pays is called
A) producer surplus.
B) the substitution effect.
C) the income effect.
D) consumer surplus.

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Sydnie

In each of the following situations, list what will happen to the equilibrium price and the equilibr

In each of the following situations, list what will happen to the equilibrium price and the equilibr

In each of the following situations, list what will happen to the equilibrium price and the equilibrium quantity for a particular product, which is an inferior good.

a.   The population decreases and productivity increases
b.   The income

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Sydnie

Shrimp is an increasingly popular part of the American diet. Louisiana shrimpers who represent the b

Shrimp is an increasingly popular part of the American diet. Louisiana shrimpers who represent the b

Shrimp is an increasingly popular part of the American diet. Louisiana shrimpers who represent the bulk of the U.S. industry were almost all put out of business by Hurricane Katrina. How did this affect the equilibrium price and quantity of shrimp?

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Sydnie

In most countries in South America, the legal driving age is 18. If the legal driving age in the Uni

In most countries in South America, the legal driving age is 18. If the legal driving age in the Uni

In most countries in South America, the legal driving age is 18. If the legal driving age in the United States was raised from 16 to 18, how would this affect the market for new and used automobiles? What would happen to the equilibrium price and qua

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Sydnie