Suppose that a monopolist can segregate his buyers into two different groups to which he can charge two different prices. in order to maximize profit, the monopolist should charge a higher price to the group that has:
a. the higher elasticity of demand.
b. the lower elasticity of demand.
c. richer memebers.

Which of the following explains why the government sets a required reserve ratio for private banks? a. to allow the government to control the interest rate charged on loans. b. to prevent banks from printing too much money and causing inflation. c. to make sure banks don't run out of money when customers make withdrawals. d. to enable the regulation of risk levels in the decision process of offering loans. 2b2t

Determine if the following statements are true or false. an increase in government spending can crowd out private investment. an improvement in the budget balance increases the demand for financial capital. an increase in private consumption may crowd out private investment. lower interest rates can lead to private investment being crowded out. a trade balance in sur+ increases the supply of financial capital. if private savings is equal to private investment, then there is neither a budget sur+ nor a budget deficit.

What is one counter argument to the premise that the wealth gap is a serious problem which needs to be addressed?