题目内容

The position and slope of the budget line are determined by

A. a. consumer’s income.
B. b. consumer’s preference.
C. c. consumer’s income and the prices of goods.
D. d. consumer’s income, preference, and the prices of goods.

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Under perfect competition, price is determined by the intersection of the industry supply and demand curves

A. a. in the short run.
B. b. in the long run.
C. c. always.
D. d. never.

Which one of the following industries is closest to perfect competition?

A. a. Aircrafts.
B. b. Cigarettes.
C. c. Rice.
D. d. Automobiles.

To a monopolist, his supply curve

A. a. slopes upward.
B. b. is identical to his marginal cost curve.
C. c. is identical to his marginal revenue curve.
D. d. does not exist.

Assume that Frank has a demand curve for steaks given by Q = 10 – 0.4P, where Q and P stand for the quantity of steaks and the dollar price of steaks. If the price of steak is $5, Frank’s consumer surplus is

A. a. $40.
B. b. $80.
C. c. $120.
D. d. $160.

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