Question
1)Consumer surplus is A.current market price. B.the difference between the maximum a person is willing to pay and current market price. C.the difference between current
1)Consumer surplus is
- A.current market price.
- B.the difference between the maximum a person is willing to pay and current market price.
- C.the difference between current market price and full costs of production for the firm.
- D.the difference between the maximum a person is willing to pay and full costs of productions for the firm.
2)If the most someone is willing to pay for ticket to see their favorite team is $100 and the market price of the ticket is $35, then this buyer will get consumer surplus of
- A.1 ticket.
- B.$35.
- C.$65.
- D.$100.
3)Producer surplus is
- A.current market price.
- B.the difference between the maximum a person is willing to pay and current market price.
- C.the difference between current market price and full costs of production for the firm.
- D.the difference between willingness to sell and full costs of productions for the firm.
4)Refer to the information provided in Figure 4.6 below to answer the question(s) that follow.
Equilibrium in this market occurs at the intersection of curves S and D.
Figure 4.6
Refer to Figure 4.6. At equilibrium, consumer surplus is area
- A.G.
- B.A+B+C.
- C.E+F+G.
- D.A.
5)Refer to the information provided in Figure 4.6 below to answer the question(s) that follow.
Equilibrium in this market occurs at the intersection of curves S and D.
Figure 4.6
Refer to Figure 4.6. At equilibrium, producer surplus is area
- A.A+B+C.
- B.G.
- C.A.
- D.E+F+G.
6)Refer to the information provided in Figure 4.6 below to answer the question(s) that follow.
Equilibrium in this market occurs at the intersection of curves S and D.
Figure 4.6
Refer to Figure 4.6. If price is P1, producer surplus is area
- A.G.
- B.A+B+E.
- C.A.
- D.B+E+G.
7)Refer to the information provided in Figure 4.6 below to answer the question(s) that follow.
Equilibrium in this market occurs at the intersection of curves S and D.
Figure 4.6
Refer to Figure 4.6. If price is P1, the deadweight loss due to under production is area
- A.E+G.
- B.A+C.
- C.F+G.
- D.C+F.
8) Refer to the information provided in Figure 4.6 below to answer the question(s) that follow.
Equilibrium in this market occurs at the intersection of curves S and D.
Figure 4.6
Refer to Figure 4.6. If price goes from equilibrium to P1, producer surplus changes by the area
- A.C+E.
- B.E-C.
- C.B-F.
- D.E+F.
9)Refer to the information provided in Figure 4.6 below to answer the question(s) that follow.
Equilibrium in this market occurs at the intersection of curves S and D.
Figure 4.6
Refer to Figure 4.6. If price goes from equilibrium to P1, consumer surplus changes by the area
- A.E+F.
- B.E-C.
- C.B-F.
- D.C+E.
10)Refer to the information provided in Figure 4.6 below to answer the question(s) that follow.
Equilibrium in this market occurs at the intersection of curves S and D.
Figure 4.6
Refer to Figure 4.6. The area of [E+F+G] represents
- A.producer surplus.
- B.consumer surplus plus producer surplus.
- C.consumer surplus minus producer surplus.
- D.consumer surplus.
11) Refer to the information provided in Figure 4.6 below to answer the question(s) that follow.
Equilibrium in this market occurs at the intersection of curves S and D.
Figure 4.6
Refer to Figure 4.6. Consumer surplus is area [A+B+E] if price is
- A.P1.
- B.P2.
- C.P3.
- D.above P3.
12Refer to the information provided in Figure 4.6 below to answer the question(s) that follow.
Equilibrium in this market occurs at the intersection of curves S and D.
Figure 4.6
Refer to Figure 4.6. The deadweight loss due to underproduction is area [C+F] if price is
- A.P1.
- B.P2.
- C.P3.
- D.>P3.
13)The total of consumer plus producer surplus is greatest
- A.at the market equilibrium.
- B.when consumer surplus is maximized.
- C.when producer surplus is maximized.
- D.all of the above
14)The difference between the maximum a person is willing to pay and current market price is known as
- A.consumer surplus.
- B.market surplus.
- C.nonprice surplus.
- D.producer surplus.
15)The total of consumer plus producer surplus is ________ at the market equilibrium.
- A.zero
- B.negative
- C.smallest
- D.greatest
16)The difference between current market price and full costs of production for the firm is known as
- A.producer surplus.
- B.market surplus.
- C.nonprice surplus.
- D.consumer surplus.
17)Refer to the information provided in Figure 4.6 below to answer the question(s) that follow.
Equilibrium in this market occurs at the intersection of curves S and D.
Figure 4.6
Refer to Figure 4.6. The area of [A+B+C] represents
- A.consumer surplus minus producer surplus.
- B.consumer surplus plus producer surplus.
- C.producer surplus.
- D.consumer surplus.
18)If the market price of a bowling ball is $125 and the full cost of producing it is $35, then a bowling ball producing firm gets producer surplus of
- A.$35.
- B.$90.
- C.$125.
- D.$160.
19)When there is overproduction in a market,
- A.there is a deadweight loss.
- B.the total of consumer and producer surplus is maximized.
- C.market price is too low.
- D.there is excess quantity demanded
20)When there is overproduction in a market,
- A.there is a deadweight loss.
- B.the total of consumer and producer surplus is maximized.
- C.market price is too low.
- D.there is excess quantity demanded
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Business Intelligence
Authors: Jerzy Surma
1st Edition
1606491857, 9781606491850
