If the government sets a minimum price above the equilibrium price for soybeans. which of the following statements will be correct？
A. quantity demanded will be equal to quantity supplied.
B. There will be excess supply.
C. There will be excess demand.
D. all of the above
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If the government sets a minimum price for gasoline below the equilibrium price:
A. quantity demanded of gasoline will be equal to quantity supplied of gasoline.
B. there will be excess demand for gasoline.
C. there will be excess supply for gasoline.
D. demand for gasoline will be less than supply for gasoline.
Figure 6.7 shows the supply and demand curves for human kidneys. If the government allowed the market to seek equilibrium, then:
A. 50 kidneys are donated
B. 30 kidneys are donated
C. 20 kidneys are donated.
D. 0 kidneys are donated.
Figure 6.7 shows the supply and demand curves for human kidneys. If the government set the price of a kidney at $5,000, then:
A. 50 kidneys would be purchased
B. 300 kidneys would be purchased.
C. 5000 kidneys would be purchased
D. 0 kidneys would be purchased.
When a tax is levied on a good or service:
A. buyers and sellers generally share the burden of the tax.
B. buyers always bear the burden of the tax.
C. sellers always bear the burden of the tax.
D. sellers bear some of the burden of the tax only if supply is perfectly elastic.
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