Exam 7: Government Actions in Markets

The figure above shows the market for sugar beets. The government intervenes in this market and sets a support price at $35 a ton. -The figure above shows that the deadweight loss from the government's policy is

The figure above shows the supply and demand curves in the market for rental housing. A rent ceiling is set at $400 per month. -As shown in the figure above,the rent ceiling

The figure above shows supply and demand in the market for labor. The government introduces a minimum wage of $7 per hour. -In the figure above,the deadweight loss is

A regulation that sets the lowest price at which it is legal to trade a good is a

-The table above gives the supply and demand schedules for scooters.Because of increased injuries sustained by children riding scooters,Citizens Against Scooter Accidents successfully lobbies the government to impose a price floor of $80.00 on scooters. a.What is the quantity demanded and supplied after the price floor has been imposed? b.Is there any shortage or surplus at this price floor? If so,how much? c.If the price floor is raised to $110.00,what is the quantity demanded and supplied? d.At a price floor of $110.00,is there any shortage or surplus? If so,how much?

Who loses and who gains from the minimum wage?

A regulation that sets the highest price at which it is legal to trade a good is a

-The above figure shows the market for a prescription drug.What is the equilibrium price of the drug? How many doses are purchased? Suppose the government imposes a price ceiling of $1.50 a dose.How many doses are purchased after the price ceiling is imposed?

-In the figure above,if the minimum wage is $8 per hour,then

Suppose the equilibrium wage rate for apricot pickers is $9.00 per hour in California and at that wage rate the equilibrium quantity of apricot pickers is 14,000.If the minimum wage is set at $7.50 per hour,then the

A rent ceiling in a housing market

In a housing market with no rent ceilings,the equilibrium rent is that for which the quantity of apartments demanded

-The above figure shows the market for 2 bedroom town homes in San Diego.If a rent ceiling is set at $1,000 per month,what is true?

-The above figure shows the domestic market for wheat.Suppose this market is isolated from global competition.The with no government intervention,the equilibrium price is ________ and the equilibrium quantity is ________.

-The above figure shows the domestic market for tomatoes.Suppose this market is isolated from global competition and there is a support price set at $16.In this figure,what area equals the consumer surplus?

If a rent ceiling is below the equilibrium rent,some allocation scheme must be used.The allocation methods include all of the following EXCEPT

In a competitive labor market,a minimum wage law set above the equilibrium wage rate

A rent ceiling set below the equilibrium rent

-The above figure shows the domestic market for wheat.Suppose this market is isolated from global competition and the government intervenes by setting a support price of $15 a ton.The quantity produced once the price support is in place is

-The figure above illustrates the current market for fast-food workers in Baltimore. a.Without any government intervention,what is the equilibrium wage rate and amount of employment? b.If the city government imposes a minimum wage of $3 an hour,what is the amount of employment? Does the minimum wage create any unemployment? Why or why not? c.If the city government imposes a minimum wage of $6 an hour,what is the amount of employment? Does the minimum wage create any unemployment? Why or why not?