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Which of the following is an example of the law of one price?

) An economist who is studying the relationship between themoney supply, interest rates, and the rate of inflation is engagedin 2) A basic difference between microeconomics and macroeconomics isthat microeconomics 3) The distinction between supply and the quantity supplied is bestmade by saying that 4) After several years of slow economic growth, world demand forpetroleum began to rise rapidly in the 1990s. Much of the increasein demand was met by additional supplies from sources outside theOrganization of Petroleum Exporting Countries (OPEC). OPEC, duringthis time, was unable to restrain output among members in itseffort to lift oil prices. What best describes these events? 5) Price elasticity of demand is the: 6) If average movie ticket prices rise by about 5 percent andattendance falls by about 2 percent, other things being equal, theelasticity of demand for movie tickets is about: 7) When labor is the variable input, the average product equalsthe 8) The increase in output obtained by hiring an additional workeris known as 9) Which of the following is the best example of a long-rundecision? 10) Other things being equal, when average productivity falls, 11) According to economist Colin Camerer of the CaliforniaInstitute of Technology, many New York taxi drivers decide when tofinish work by setting an income goal for themselves. If this istrue, then on busy days when the effective hourly wage is higher,taxi drivers will 12) A firms demand for labor is derived from the 13) Owen runs a delivery business and currently employs threedrivers. He owns three vans that employees use to make deliveries,but he is considering hiring a fourth driver. If he hires a fourthdriver, he can schedule breaks and lunch hours so all three vansare in constant use, allowing him to increase deliveries per dayfrom 60 to 75. This will cost an additional $75 per day to hire thefourth driver. The marginal cost per delivery of increasing outputbeyond 60 deliveries per day 14) Expected economic profit per unit is equal to 15) If a firm in a perfectly competitive market experiences atechnological breakthrough, 16) A significant difference between monopoly and perfectcompetition is that 17) A monopoly firm is different from a competitive firm inthat 18) The difference between a perfectly competitive firm and amonopolistically competitive firm is that a monopolisticallycompetitive firm faces a 19) As long as marginal cost is below marginal revenue, a perfectlycompetitive firm should 20) Because a monopolistic competitor has some monopoly power,advertising to increase that monopoly power makes sense as long asthe marginal 21) In the Flint Hills area of Kansas, proposals to build windturbines to generate electricity have pitted environmentalistagainst environmentalist. Members of the Kansas Sierra Club supportthe turbines as a way to reduce fossil fuel usage, while localchapters of the Nature Conservancy say they will befoul thelandscape. The Sierra Club argues that wind turbines 22) When negative externalities are present, market failure oftenoccurs because 23) A merger between a textile mill and a clothing manufacturingcompany would be considered a 24) A merger between a baby food company and a life insurancecompany would be considered a 25) From the point of view of consumer and producer surplus, whatproblem may be created when a country subsidizes the cost of energyto consumers to help alleviate the burden of higher energycosts? 26) Suppose people freely choose to spend 40 percent of theirincome on health care, but the government decides to tax 40 percentof a persons income to provide the same level of coverage asbefore. What can be said about deadweight loss in each case? 27) The U.S. textile industry is relatively small because the USimports most of its clothing. A clear result of the importation ofclothing is 28) Countries can expect to gain from international trade as longas they 29) Which of the following is an example of the law of oneprice? 30) The fact that U.S. managers salaries are substantially greaterthan those of comparable managers in Japan may be related to; 1) An economist who is studying the relationship between themoney supply, interest rates, and the rate of inflation is engagedin 2) A basic difference between microeconomics and macroeconomics isthat microeconomics 3) The distinction between supply and the quantity supplied is bestmade by saying that 4) After several years of slow economic growth, world demand forpetroleum began to rise rapidly in the 1990s. Much of the increasein demand was met by additional supplies from sources outside theOrganization of Petroleum Exporting Countries (OPEC). OPEC, duringthis time, was unable to restrain output among members in itseffort to lift oil prices. What best describes these events? 5) Price elasticity of demand is the: 6) If average movie ticket prices rise by about 5 percent andattendance falls by about 2 percent, other things being equal, theelasticity of demand for movie tickets is about: 7) When labor is the variable input, the average product equalsthe 8) The increase in output obtained by hiring an additional workeris known as 9) Which of the following is the best example of a long-rundecision? 10) Other things being equal, when average productivity falls, 11) According to economist Colin Camerer of the CaliforniaInstitute of Technology, many New York taxi drivers decide when tofinish work by setting an income goal for themselves. If this istrue, then on busy days when the effective hourly wage is higher,taxi drivers will 12) A firms demand for labor is derived from the 13) Owen runs a delivery business and currently employs threedrivers. He owns three vans that employees use to make deliveries,but he is considering hiring a fourth driver. If he hires a fourthdriver, he can schedule breaks and lunch hours so all three vansare in constant use, allowing him to increase deliveries per dayfrom 60 to 75. This will cost an additional $75 per day to hire thefourth driver. The marginal cost per delivery of increasing outputbeyond 60 deliveries per day 14) Expected economic profit per unit is equal to 15) If a firm in a perfectly competitive market experiences atechnological breakthrough, 16) A significant difference between monopoly and perfectcompetition is that 17) A monopoly firm is different from a competitive firm inthat 18) The difference between a perfectly competitive firm and amonopolistically competitive firm is that a monopolisticallycompetitive firm faces a 19) As long as marginal cost is below marginal revenue, a perfectlycompetitive firm should 20) Because a monopolistic competitor has some monopoly power,advertising to increase that monopoly power makes sense as long asthe marginal 21) In the Flint Hills area of Kansas, proposals to build windturbines to generate electricity have pitted environmentalistagainst environmentalist. Members of the Kansas Sierra Club supportthe turbines as a way to reduce fossil fuel usage, while localchapters of the Nature Conservancy say they will befoul thelandscape. The Sierra Club argues that wind turbines 22) When negative externalities are present, market failure oftenoccurs because 23) A merger between a textile mill and a clothing manufacturingcompany would be considered a 24) A merger between a baby food company and a life insurancecompany would be considered a 25) From the point of view of consumer and producer surplus, whatproblem may be created when a country subsidizes the cost of energyto consumers to help alleviate the burden of higher energycosts? 26) Suppose people freely choose to spend 40 percent of theirincome on health care, but the government decides to tax 40 percentof a persons income to provide the same level of coverage asbefore. What can be said about deadweight loss in each case? 27) The U.S. textile industry is relatively small because the USimports most of its clothing. A clear result of the importation ofclothing is 28) Countries can expect to gain from international trade as longas they 29) Which of the following is an example of the law of oneprice? 30) The fact that U.S. managers salaries are substanti
ally greaterthan those of comparable managers in Japan may be related to