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1. A competitive market for coffee, a normal good, is currently in equilibrium. Which of the following would most likely result in an increase in the demand for coffee?
2. Which of the following certainly lowers the equilibrium price of a good exchanged in a competitive market?
3. An effective price ceiling in the market for good X likely results in
4. Which of the following goods is likely to have the most elastic demand curve?
5. Which of the following is a fundamental aspect of the free market system?
6. The elasticity of supply is typically greater when
7. Good X is exchanged in a competitive market. Which of the following is true if an excise tax is now imposed on the production of good X?
8. Which of the following is an implicit cost for the owner of a small store in your hometown?
9. Suppose a price floor is installed in the market for coffee. One result of this policy would be
10. The table below describes employment and production of a firm that hires labor and produces output in competitive markets. The competitive price of the product is $.50.
Which unit of labor has marginal revenue product equal to $1.50?
11. If the wage paid to all units of labor is $4.50, how many units of labor are hired?
12. Which of the following is true of the perfectly competitive firm in the short run?