ECON 2030 EXAM 2 LSU
ECON 2030 EXAM 2 LSU EXAM
STUDY GUIDE. GRADED A+.
QUESTIONS AND 100%
VERIFIED ANSWERS. LATEST
2025/2026 UPDATE
inelastic; smaller - Ans✔✔-The shorter the period of time that a buyer has to
make a purchasing decision, everything else held constant, the more price __
demand will be for the good. The __ proportion of a consumer's budget a good
makes up, everything else held constant, the more price inelastic demand will
be for the good.
- inelastic; smaller
- elastic; greater
- elastic; smaller
- inelastic; greater
$1195 - Ans✔✔-Suppose the rational and chic Amber saw a beautiful pair of
Christian Louboutin loafers priced at $995 and she bought them. Suppose
further that her consumer surplus from the purchase was $200. It can be
concluded with certainty that her reservation price for buying the loafers was...
,ECON 2030 EXAM 2 LSU
- $0
- $200
- $795
- $995
- $1195
remain in business - Ans✔✔-At a given point in time, suppose a monopolist is
producing its profit-maximizing level of output and is earning an economic
profit equal to zero. Everything else held constant, what will the monopolist do
in the long run?
- shut down
- remain in business
A. increase
B. increase - Ans✔✔-Suppose books are a normal good. Suppose further that
national income in increasing.
A. In the situation above, producer surplus in the book market will __,
everything else held constant.
- remain unchanged
- increase
- be ambiguous
- decrease
B. In the situation above, economic surplus in the book market will __,
everything else held constant.
- remain unchanged
- increase
- be ambiguous
, ECON 2030 EXAM 2 LSU
- decrease
A. the demand for bicycles is relatively more price inelastic than the supply is
B. $6.50 lower - Ans✔✔-Suppose the government imposes an excise tax of $10
per unit on bicycles. Suppose further that buyers bear 65 percent of the burden
of the tax.
A. In the situation above, which of the following can be concluded with
certainty?
- the demand for bicycles is price elastic
- the demand for bicycles is relatively more price elastic than the supply is
- the demand for bicycles is price inelastic
- the demand for bicycles is relatively more price inelastic than the supply is
B. After the tax is imposed, the price the sellers receive for selling a bicycle will
be __ than it was before the tax, everything else held constant.
- $6.50 lower
- $6.50 higher
- $10.00 hgiher
- $3.50 higher
- $3.50 lower
decrease output and increase price? - Ans✔✔-Suppose the price at which a
monopolist is selling its output is $10 and the marginal revenue associated with
the last unit of output sold is $8. Suppose further that the marginal cost of
producing the last unit of output sold is $6. Which of the following actions
should the non-price discriminating monopolist take to increase its profits?
- decrease output and decrease price
- increase output and increase price
ECON 2030 EXAM 2 LSU EXAM
STUDY GUIDE. GRADED A+.
QUESTIONS AND 100%
VERIFIED ANSWERS. LATEST
2025/2026 UPDATE
inelastic; smaller - Ans✔✔-The shorter the period of time that a buyer has to
make a purchasing decision, everything else held constant, the more price __
demand will be for the good. The __ proportion of a consumer's budget a good
makes up, everything else held constant, the more price inelastic demand will
be for the good.
- inelastic; smaller
- elastic; greater
- elastic; smaller
- inelastic; greater
$1195 - Ans✔✔-Suppose the rational and chic Amber saw a beautiful pair of
Christian Louboutin loafers priced at $995 and she bought them. Suppose
further that her consumer surplus from the purchase was $200. It can be
concluded with certainty that her reservation price for buying the loafers was...
,ECON 2030 EXAM 2 LSU
- $0
- $200
- $795
- $995
- $1195
remain in business - Ans✔✔-At a given point in time, suppose a monopolist is
producing its profit-maximizing level of output and is earning an economic
profit equal to zero. Everything else held constant, what will the monopolist do
in the long run?
- shut down
- remain in business
A. increase
B. increase - Ans✔✔-Suppose books are a normal good. Suppose further that
national income in increasing.
A. In the situation above, producer surplus in the book market will __,
everything else held constant.
- remain unchanged
- increase
- be ambiguous
- decrease
B. In the situation above, economic surplus in the book market will __,
everything else held constant.
- remain unchanged
- increase
- be ambiguous
, ECON 2030 EXAM 2 LSU
- decrease
A. the demand for bicycles is relatively more price inelastic than the supply is
B. $6.50 lower - Ans✔✔-Suppose the government imposes an excise tax of $10
per unit on bicycles. Suppose further that buyers bear 65 percent of the burden
of the tax.
A. In the situation above, which of the following can be concluded with
certainty?
- the demand for bicycles is price elastic
- the demand for bicycles is relatively more price elastic than the supply is
- the demand for bicycles is price inelastic
- the demand for bicycles is relatively more price inelastic than the supply is
B. After the tax is imposed, the price the sellers receive for selling a bicycle will
be __ than it was before the tax, everything else held constant.
- $6.50 lower
- $6.50 higher
- $10.00 hgiher
- $3.50 higher
- $3.50 lower
decrease output and increase price? - Ans✔✔-Suppose the price at which a
monopolist is selling its output is $10 and the marginal revenue associated with
the last unit of output sold is $8. Suppose further that the marginal cost of
producing the last unit of output sold is $6. Which of the following actions
should the non-price discriminating monopolist take to increase its profits?
- decrease output and decrease price
- increase output and increase price
