- Module 8.1: On game days, homeowners near Middletown Universitys stadium used t...
- Module 8.2: True or false? Explain your answer. A price ceiling below the equil...
- Module 8.3: The state legislature mandates a price floor for gasoline of PF per...
- Module 8.4: Refer to the graph provided. If the government establishes a minimu...
- Module 8.5: Refer to the graph for Question 4. With a minimum wage of $10, how ...
Solutions for Chapter Module 8: Supply and Demand: Price Controls (Ceilings and Floors)
Full solutions for Krugman's Economics for AP® (High School) | 2nd Edition
Solutions for Chapter Module 8: Supply and Demand: Price Controls (Ceilings and Floors)Get Full Solutions
Arrow’s impossibility theorem
a mathematical result showing that, under certain assumed conditions, there is no scheme for aggregating individual preferences into a valid set of social preferences
the proposition that if private parties can bargain without cost over the allocation of resources, they can solve the problem of externalities on their own
the fall in total surplus that results from a market distortion, such as a tax
a strategy that is best for a player in a game regardless of the strategies chosen by the other players
a situation in which the market price has reached the level at which quantity supplied equals quantity demanded
the quantity supplied and the quantity demanded at the equilibrium price
financial institutions through which savers can indirectly provide funds to borrowers
the accumulation of investments in people, such as education and on-the-job training
goods produced abroad and sold domestically
the political philosophy according to which the government should punish crimes and enforce voluntary agreements but not redistribute income
the regular pattern of income variation over a person’s life
the increase in total cost that arises from an extra unit of production
the tendency of a person who is imperfectly monitored to engage in dishonest or otherwise undesirable behavior
the inputs into the production of goods and services that are provided by nature, such as land, rivers, and mineral deposits
price elasticity of demand
a measure of how much the quantity demanded of a good responds to a change in the price of that good, computed as the percentage change in quantity demanded divided by the percentage change in price
the tax revenue that the government has left after paying for its spending
an action taken by an informed party to reveal private information to an uninformed party
unemployment that results because the number of jobs available in some labor markets is insufficient to provide a job for everyone who wants one
the costs that parties incur in the process of agreeing to and following through on a bargain
the political philosophy according to which the government should choose policies to maximize the total utility of everyone in society