For two individuals who engage in the same two productive activities, it is impossible for one of the two individuals to ( )
A. have a comparative advantage in both activities.
B. have an absolute advantage in both activities.
C. be more productive per unit of time in both activities.
D. gain from trade with each other.
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Buyers and sellers who have no influence on market price are referred to as ( )
A. market pawns.
B. monopolists.
C. price takers.
D. price setters.
A downward-sloping demand curve illustrates ( )
A. that demand decreases over time.
B. that prices fall over time.
C. the relationship between income and quantity demanded.
D. the law of demand.
The difference between accounting profit and economic profit is ( )
A. explicit costs.
B. total revenue
C. implicit costs.
D. marginal product.
Which of the following will cause an increase in consumer surplus? ( )
A. an increase in the production cost of the good
B. a technological improvement in the production of the good
C. a decrease in the number of sellers of the good
D. the imposition of a binding price floor in the market
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