In the above figure, which curve is an indifference curve for someone who views frozen pizzas and milk as perfect complements?
A) indifference curve F
B) indifference curve G
C) indifference curve H
D) indifference curve I
Ques. 2A depository institution receives deposits from lenders and makes loans to borrowers.
Indicate whether the statement is true or false
Ques. 3What occurs if a price floor is set above the equilibrium price? What occurs if a price ceiling is set below the equilibrium price?
What will be an ideal response?
Ques. 4In the figure above, if the market is unregulated, the output will be
A) zero.
B) 50 units.
C) 150 units.
D) 250 units.
Ques. 5How is the efficient quantity of public goods determined?
What will be an ideal response?
Ques. 6A perfectly competitive firm initially is earning zero economic profit. Then, a decrease in demand for the firm's product occurs. Of the following, in the long run which action listed below is the firm most likely to take?
A) Increase the quantity it produces.
B) Increase its advertising to increase the demand for its product.
C) Exit the market.
D) Increase the size of its plant.
Ques. 7Because of their higher value of marginal product
A) the demand curve for high-skilled workers lies to the right of the demand curve for low-skilled workers.
B) the demand curve for high-skilled workers lies to the left of the demand curve for low-skilled workers.
C) the supply curve for high-skilled workers lies to the right of the supply curve for low-skilled workers.
D) the demand curve for high-skilled workers lies to the left of the supply curve for low-skilled workers.
Ques. 8Taco Bell produces both tacos and burritos because when it does so, Taco Bell experiences
A) economies of scope.
B) decreasing scope of costs.
C) increasing normal profit.
D) economies of scale.
Ques. 9Consider the indifference maps shown above. If eyeglass frames and eyeglass lenses were perfect complements, your indifference curves between them would look like those in
A) Figure A.
B) Figure B.
C) Figure C.
D) Figure D.
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