When a Competitive Equilibrium Is Achieved in a Market

question 73

Multiple Choice

When a competitive equilibrium is achieved in a market,

• A)all individuals are better off than they would be if a price ceiling or price floor was imposed by government.
• B)the total net benefit to society is maximized.
• C)the total benefits to consumers are equal to the total benefits to producers.
• D)economic surplus equals the deadweight loss.

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Definitions:

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Questions that suggest a particular answer or contain assumptions that can distort the respondent's true response.

Inaccurate Memories

Recollections of past events that are either distorted or entirely fabricated.

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A magnetic tape used for storing visual and audio information, historically used before digital recording became mainstream.

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A phenomenon where older memories hinder the recall of newer memories.