1.

Which of the following terms describes a market in which the market size for cups of coffee is 20,000 cups per day in a city and the production at minimum efficient scale equals 500 cups per day? (1 point)

Concentrated

Fragmented

Monopolized

Oligopolistic

Regulated

2.

Country X has a Gini coefficient of 0.45, whereas Country P has a Gini coefficient of 0.40. What must be true about these two countries? (1 point)

Country X has a higher income per capita than Country P.

Country P has a higher income per capita than Country X.

Country X has a higher standard of living than Country P.

Country X has higher economic inequality than Country P.

Country P has higher economic inequality than Country X.

3.

Price ($) T $600 V W $400 - - - X D 15,000 20,000 Quantity Assume that the market shown is perfectly competitive with no externalities. If the production output is 15,000 units, then O total surplus is being maximized O deadweight loss is being minimized O deadweight loss is being maximized O total surplus is not being maximized ()consumer and producer surplus are maximized82 Price 51 Quantity which of the following scenarios would explain the supply shift from 31 to SE? 0 A perunit tax on a product 0 A cap on the price sellers can charge 0 Consumer expectations of a future price decrease O The number of suppliers producing a good increases 0 Technological advancements in production create the need for less supply Use the graph to answer the question that follows. (1 point) S=MPC Price ($) D=MPB=MSB Quantity Assume the crude oil market is experiencing the inefficiency shown in the graph, and the demand curve remains constant. Which of the following economic policies could cause social marginal cost to equal private marginal cost and move the market to an allocationy efficient result? Reducing the tariff on foreign gasoline imports A reduced quota of foreign gasoline imports A decrease in the excise tax on gasoline An increase in the excise tax on gasoline A government subsidy to gasoline consumers