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A. quantity demanded of gasoline will be equal to quantity supplied of gasolineB. there will be excess demand for gasolineC. there will be excess supply of gasolineD. demand for gasoline will be less than supply of gasolineQuestion 16 of 205.0/ 5.0 Points
Producer surplus is equal to __________ .A. the area under the supply curveB. the area above the supply curve below the good's priceC. the area under the supply curve below the good's priceD. the good's price times the quantity purchasedQuestion 17 of 200.0/ 5.0 PointsWhich of the following would result from a quota imposed on the quantity of cars that can be imported into the United States?A. an increase in the total surplusB. an increase in producer surplusC. an increase in prices for consumersD. an increase in consumer surplusQuestion 18 of 205.0/ 5.0 PointsAt the market equilibrium, resources are allocated efficiently because __________ .A. the marginal cost of producing another unit is equal to zeroB. the price buyers pay accurately reflects the marginal cost of the resources used to produce the goodC. the price buyers pay is greater than sellers' willingness to sellD. all of the aboveQuestion 19 of 205.0/ 5.0 PointsAssume that Crystal's demand for handbags remains constant, but the price of handbags increases. Crystal's consumer surplus __________ .A. decreasesB. increasesC. remains constantD. may increase or decrease depending on the amount of the price decreaseQuestion 20 of 205.0/ 5.0 Points
Mary has an old house built in 1950 that she would be willing to sell for $100,000. If someone offers to buy her house for $110,000, Mary's producer surplus would be equal to __________ . A. $5,000B. $10,000C. $55,000D. $100,000