Figure 15-7 -Refer to Figure 15-7.What Is the Area of Deadweight Loss

question 394

Multiple Choice

Figure 15-7

-Refer to Figure 15-7.What is the area of deadweight loss?

• A) the rectangle (F-D)xA
• B) the triangle 1/2[(F-D)x(B-A)]
• C) the triangle 1/2[(F-G)x(B-A)]
• D) the rectangle (F-D)xA plus the triangle 1/2[(F-D)x(B-

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Definitions:

Liquidated Damages

are a predetermined form of compensation specified within a contract, payable for a breach of contract, where actual damages are difficult to ascertain.

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Not guided by or based on good sense or logic; excessive or beyond reasonable limits.

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Contractual agreements where an individual agrees to provide their services exclusively to a single employer or client.

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An individual who provides goods or services to another entity under terms specified in a contract or within a verbal agreement, not considered an employee.