Unit Test — Unit test Answers

Tasty Treat Tea is a popular iced tea drink. When the manufacturer begins to use imported tea leaves, the price rises by 10%, and the quantity demanded falls by 20%.The fact that quantity demanded changed by more than the price change suggests that

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Which best describes how consumers may benefit from specialization?

This table shows the number of cookies several bakeries sell each day.Bakery Number of Cookies Sold Mrs. Track’s 90 Chips 100 The Bakeshop 75 Uncle John’s 125 All else being equal, which bakery has the absolute advantage?

In pure competition, producers compete exclusively on the basis of

A producer with a comparative advantage has the ability to produce a good or service at

How can producers maximize their profit? Check all that apply.

The graph shows excess demand.Which needs to happen in order to stop disequilibrium from occurring?

Why is the automobile industry considered an oligopoly? Select all that apply.

Wellness Pharmaceuticals has released a new antidepressant, Lexabuzac. Which type of monopoly does the company most likely have on this medication?

On a graph, an equilibrium point is where

On a supply and demand graph, equilibrium is the point where

Which scenario is the best example of an opportunity cost?

Which of these best describes an opportunity cost?

The government has set a price floor on bread. Manufacturers cannot sell loaves for less than $5.00, which is a dollar above the market price. What will most likely result from this price control?

The graph shows excess demand.Which explains why the price indicated by p2 on the graph is lower than the equilibrium price?

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