In order to change the demand for union labor, unions favor all of the following EXCEPT increasing ...

In order to change the demand for union labor, unions favor all of the following EXCEPT increasing
 
  A) the minimum wage.
  B) import restrictions.
  C) immigration.
  D) job training for members.

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Ques. 2

In 2008, a former Intel engineer has been charged with stealing trade secrets worth 1 billion. Intel owns 90 percent of the worldwide market for microprocessors, AMD has the rest. The microprocessor market is most like an example of
 
  A) monopoly.
  B) oligopoly.
  C) perfect competition.
  D) monopolistic competition.

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Ques. 3

Rembrandt paintings are expensive and not as vital for life as milk, which is cheap.
 
  Marginal utility theory explains this paradox of value: The total utility from a Rembrandt painting is ________ than the total utility from milk, and the marginal utility from a Rembrandt painting is ________ than the marginal utility from milk. A) smaller; smaller
  B) smaller; larger
  C) larger; smaller
  D) larger; larger

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Ques. 4

Explain why some amount of ignorance can be rational.
 
  What will be an ideal response?

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Ques. 5

The figure above shows the costs for the typical grower in the perfectly competitive turnip market. Currently, the price of a ton of turnips is 1,200. The demand for turnips increases permanently.
 
  The turnip industry experiences neither external economies nor external diseconomies. In the long run, the price of a ton of turnips ________. A) increases so it is above 1,200
  B) is 1,200 and turnip growers will make normal profit
  C) decreases so it is below 1,200, and turnip growers will make normal profit
  D) decreases so it is below 1,200 and the turnip growers make an economic profit

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Ques. 6

In the market depicted in the above figure, if a single-price monopoly maximizes its profit, which area shows the deadweight loss?
 
  A) area FHIL
  B) area GHJM
  C) area IJH
  D) area LJK

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Ques. 7

The above figure shows the costs at Barney's Bagel Bakery. Up to which level of output will increasing marginal returns in production be experienced at Barney's Bagel Bakery?
 
  A) up to 500 bagels
  B) up to 2000 bagels
  C) up to 3000 bagels
  D) up to 3500 bagels

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Ques. 8

Explain the principle Make the poorest as well off as possible. Who proposed it?
 
  What will be an ideal response?

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Ques. 9

When a tax is imposed on sellers of a good, the resulting rise in the equilibrium price is usually less than the amount of the tax itself. Why doesn't the equilibrium price rise by the full amount of the tax?
 
  What will be an ideal response?