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NEW QUESTION 40
The government decides to set a price ceiling on corn. The price ceiling is set 10% above the equilibrium price. What would be the result of this government action?
- A. There would be a shortage of corn.
- B. There would be a surplus of corn.
- C. Consumer surplus would increase.
- D. The price ceiling would have no effect on the market.
Answer: D
NEW QUESTION 41
Based on the multiple regression output below, choose the variable with the highest level of significance.
- A. X Variable 3
- B. X Variable 9
- C. X Variable 5
- D. Intercept
Answer: B
NEW QUESTION 42
A restaurant that sells hamburgers is considering lowering prices to gain market share. The restaurant pays $3,000 a month for the building it occupies, and ingredients and labor cost $2.50 per hamburger. If the restaurant expects to sell 2,000 hamburgers a month, what is the minimum price it could charge?
- A. $4.00
- B. $2.50
- C. $3.00
- D. $3.50
Answer: A
NEW QUESTION 43
A company’s Balance Sheet for the year ended Dec. 31, 2013 is as follows:
(In millions)
The company is MOST likely in which of the following industries?
- A. Commercial banking
- B. Pharmaceutical
- C. Civil aviation
- D. Retailing
Answer: A
NEW QUESTION 44
—
A student is interested in which factors affect the U.S. poverty rate and develops a model using the following independent variables:
The unemployment rate The percent of the adult (over 25) population with at least a bachelor’s degree The percent of the population without health insurance
The student collects data from each of the 50 states in the U.S. and Washington D.C. for the year 2012 and runs the regression in Excel. The results of this regression are given below. Based on these results, what does the model predict the poverty rate would be for a state for which the unemployment rate is 6%, 20% of all adults over 25 have at least a bachelor’s degree, and 5% of the population does not have health insurance?
(Note that all percent values are given as numbers between 0 and 1.)
- A. 14.14%
- B. 1.14%
- C. 1.27%
- D. 26.48%
Answer: A
NEW QUESTION 45
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