PART A - Questions 1 - 7
Consider a market where demand is D: P = 30 - Q and supply is S: P = 0.5Q.
1. Equilibrium quantity Qe is
a. $17
b. $18
c. $19
d. $20
2. Equilibrium is price Pe
a. 10
b. 11
c. 12
d. 13
3. Consumer surplus CS is
a. $199
b. $200
c. $201
d. $202
4. Producer surplus PS is
a. $98
b. $99
c. $100
d. $101
5. Total surplus TS is
a. $220
b. $300
c. $323
d. $444
6. When the government imposes a price floor = $20, disequilibrium between quantity demanded and quantity supplied results in
a. Deficit = 10
b. Surplus = 10
c. Deficit = 30
d. Surplus = 30
7. Total surplus TS' with the price floor is
a. $220
b. $225
c. $230
d. $235
PART B - Questions 8 - 28
Consider a market where demand is D: P = 40 - Q and supply is S: P = Q.
8. Equilibrium quantity Qe is
a. 16
b. 18
c. 20
d. 22
9. Equilibrium price Pe is
a. $18
b. $20
c. $22
d. $24
10. Consumer surplus CS is
a. $198
b. $199
c. $200
d. $201
11. Producer surplus PS is
a. $198
b. $199
c. $200
d. $201
12. Total surplus TS is
a. $390
b. $394
c. $396
d. $400
Impose a specific tax T = $4 on each unit sold in the above market.
13. Post-tax quantity Q' is
a. 16
b. 18
c. 20
d. 22
14. Post-tax price P' is
a. $18
b. $20
c. $22
d. $24
15. Consumer surplus CS' is
a. $156
b. $158
c. $160
d. $162
16. Producer surplus PS' is
a. $156
b. $158
c. $160
d. $162
17. Tax revenue TR of the government is
a. $68
b. $70
c. $72
d. $74
18. Total surplus TS' is
a. $390
b. $394
c. $396
d. $400
Consider a market where demand is: P = 70 - Q and supply is S: P = Q.
19. Equilibrium quantity Qe is
a. 35
b. 36
c. 45
d. 56
20. Equilibrium price Pe is
a. $34
b. $35
c. $36
d. $37
21. Consumer surplus CS is
a. $610
b. $612.5
c. $615
d. $648
22. Producer surplus PS is
a. $610
b. $612.5
c. $615
d. $648
23. Total surplus TS is
a. $1,222
b. $1,223
c. $1,224
d. $1,225
Construct a budget neutral subsidy in the above market.
24. Post-subsidy quantity Q' is
a. 35
b. 36
c. 45
d. 56
25. Post-subsidy price P' is
a. $34
b. $35
c. $36
d. $37
26. Consumer surplus CS' is
a. $610
b. $612.5
c. $615
d. $648
27. Producer surplus PS' is
a. $610
b. $612.5
c. $615
d. $648
28. Total surplus TS is (do not forget to account for the subsidy expenditure SE)
a. $1,222
b. $1,223
c. $1,224
d. $1,225
29. The basic characteristic of the long run is that:
A. barriers to entry prevent new firms from entering the industry.
B. the firm has sufficient time to change the size of its plant.
C. the firm does not have sufficient time to cut its rate of output to zero.
D. a firm does not have sufficient time to change the amounts of any of the resources it employs.
30. The law of diminishing returns indicates that:
A. as extra units of a variable resource are added to a fixed resource, marginal product will decline beyond some point.
B. because of economies and diseconomies of scale a competitive firm's long-run average total cost curve will be U-shaped.
C. the demand for goods produced by purely competitive industries is downsloping.
D. beyond some point the extra utility derived from additional units of a product will yield the consumer smaller and smaller extra amounts of satisfaction.
31. Variable cost is:
A. the cost of producing one more unit of capital, say, machinery.
B. any cost which does not change when the firm changes its output.
C. average total cost multiplied by the firm's output.
D. any cost that rises with output in the short run.
32. In the above figure, curves 1, 2, 3, and 4 represent the:
A. ATC, MC, AFC, and AVC curves respectively.
B. MC, AFC, AVC, and ATC curves respectively.
C. MC, ATC, AVC, and AFC curves respectively.
D. ATC, AVC, AFC, and MC curves respectively.
33. Refer to the above data. If product price is $60, the firm will:
A. shut down.
B. produce 4 units and realize a $120 economic profit.
C. produce 6 units and realize a $100 economic profit.
D. produce 3 units and incur a $40 loss.
34. Refer to the above diagram for a pure monopolist. Monopoly price will be:
A. e.
B. c.
C. b.
D. a.
35. Refer to the above diagram for a pure monopolist. Monopoly output will be:
A. between f and g.
B. h.
C. g.
D. f.
Consider a market with the market demand D: P = 100 - Q, which is served by two Cournot duopolistic producers with the constant marginal cost MC = $10 and no fixed cost.
36. In Nash equilibrium, the output of each firm, is
A. 20
B. 30
C. 40
D. 50
37. In Nash equilibrium, the market output is
A. 40
B. 60
C. 80
D. 100
38. In Nash equilibrium, the market price is
A. $30
B. $40
C. $50
D. $60
39. In Nash equilibrium, profit of each firm is
A. $900
B. $1000
C. $1100
D. $1200
40. When these two firms collude to form a cartel, the market output is
A. 10
B. 20
C. 35
D. 45
41. When these two firms collude to form a cartel, the market price is
A. 45
B. 55
C. 60
D. 70
42. When these two firms collude to form a cartel, the profit of each firm is
A. $1012.50
B. $1450.50
C. $1560.25
D. $1860.25
43. Under pure competition a large number of identical firms in this market would produce a market output of
A. 80
B. 90
C. 100
D. 110
44. Under pure competition the market price in this market would be
A. $10
B. $14
C. $15
D. $18
The good grade Logan will receive as a result of studying
He compared the extent of capitalism in Catholic and Protestant countries.
1. Forgone wages 2. Time spent studying for other classes 3. Time spent sleeping These were marked as the correct answers to Prof Kaifa's question on MyEconLab
Economics is concerned with the allocation of scarce resources. This general definition can be applied across a variety of applications including labor economics, financial economics (finance), macroeconomics, microeconomics, etc. For each of these areas, theoretical models are built (by theoreticians) and these models are tested (by applied economists). When they are built, they are built on the basis of how a simplied world should work under certain assumptions. For example, under the assumptions that people have unlimited wants, get satisfaction from consumption of resources, consumption of the first unit brings more satisfaction than consumption of the next unit, and a certain income and prices of goods, theoretical economics will predict that consumers will but some of each good. This is a theoretical model because it is completely created in the mind and shows what will happen if all the assumptions are correct. The models are usually mathematical in nature and, although they may look complex to the outside observer, are usually very simple abstractions from reality. Applied economics is the testing these theoretical models on real world data to see if the theoretical relationships are shown to exist in reality. One reason the theoretical model will not test well in reality is if the theoretician forgot an important assumption. Applied economics basically tests theoretical economics. The tests usually involve taking the theoretical models and creating statistical models from them. Theoreticians usually only work with math. Applied economics that test theoretical models usually work with statistical theory. There is also a middle ground of applied economists that use already verified theoretical models and apply real world data to it to measure some economic phenomena of interest. Fundamentally, there is no reason that economics should be so heavily math and statistics based. Since the 50 or so years since the mathematization of economics there has been no more important discoveries made than the previous non-math years of the examination of the political economy.
Econometric is a mathematical and statistical tool for empirical economic analysis. An econometric model is a set of equations that depict the major relationship in the economy. It is usually used in economic analysis to illustrate cause-effect relations and to help to predict the future tendencies for key variables. Source(S): heytutor.com/econometrics-tutor
The est practice is a test that will help you before the real test. I would study before taking the practice test too.
This one can learn in the school for the G1 practice test. But he can search in the internet for help or old G1 practice test. They should try all of this help.
Radiology technician practice tests are a good test to practice for and radiology technician test is nearly everywhere. To get a test you can visit the hospital.
It's important to practice before your drivers test, so if family or friends are unable to help you there are numerous businesses that will practice with you, such as driving schools.
At www.wtamu.edu Virtual Math Lab GRE Math, you can take a practice GRE Math test. The design of the practice test is different from that of the real test, but it will help to prepare you for the real test.
Studying is just another way of learning material. Regardless of the assignment being a practice test, you can still study. This will help you grasp your full potential when you take the practice test.
The mcsa practice test is geared toward individuals in the internet technology field looking to practice for a licence that will help them gain a job in the future.
Studying and taking practice test for anything is extremely helpful. But, especially helpful for getting your permit. Many who suffer from test anxiety will take practice test over and over until the anxiety has gone and they find by using practice test makes the actual test a piece of cake.
If your parents or anyone else is not able to help you practice your driving test, you could always attend driving school where they make you do in car lessons.
You can find many RN practice tests on the internet, and also some clinics, hospitals and colleges offer these practice tests to help you prepare for your test.
The GRE, or Graduate Record Exam, is a test most schools require a student take in order to be admitted to graduate school. Taking a practice test can help you prepare for the actual exam and get a higher score.
Many people who want to study for the GED find help through study websites online. However, using a printed GED practice test can also help with studying. When you print out a practice test, you can take it anywhere and study it at any time. With a printed practice test, you can also write notes in the margins or under problems. Another benefit of printing out a GED practice test is being able to print out several copies of the test. If you print the test from a website, you may be able to mix up the questions on each practice test, as well.