Please answer all!!

$15.$ When a negative externality is present in a market, total surplus will be

if sellers only consider

$[$a$]$ higher; private benefits

$[$b$]$ lower; private costs

$[$c$]$ lower; social costs

$[$d$]$ higher; social benefits

$16.$ The graph above demonstrates the domestic demand and supply for a good, as well as the world price for that good. If this economy were to go from autarky to free trade, which of the following statements is true?

I. Total surplus will increase by $\backslash (\backslash$$ $35,000\backslash ).$

II$.$ Domestic consumers will purchase $9,000$ units.

III. The country will export $7,000$ units.

$[$a$]$ I only

$[$b$]$ II and III only

$[$c$]$ I, II$,$ and III

$[$d$]$ III only

Above is tabulated the pollution level in tons for three different manufacturing firms, as well as their

cost per ton of reducing pollution. The government has decided to limit total pollution to $150$ tons,

and distribute to each firm $50$ permits, each allowing the firm to emit $1$ ton of the pollutant. By how

much would the total cost of the pollution reduction initiative be reduced if the firms are allowed to

trade their permits, as opposed to not letting them trade them?

$[$a$]$ $$4,500$

$[$b$]$ $$3,750$

$[$c$]$ $$2,250$

$[$d$]$ $$1,667$

Argentina and Brazil both produce coffee and wine. In Argentina, producing one pound coffee

requires $2$ hours, while producing one bottle wine requires $4$ hours. In Brazil, producing one pound

coffee requires $1$ hour, while producing one bottle wine requires $5$ hours. Which country has a

comparative advantage in the production of coffee?

$[$a$]$ Brazil.

$[$b$]$ Argentina.

$[$c$]$ No country has a comparative advantage in producing wine.

$[$d$]$ This question cannot be answered without more information.

Version B

Kelly teaches English as a second language at the New York Language Center, which operates in a

competitive industry. Kelly gives lessons to $10$ students per month. Her monthly total revenue is $$2,000.$

The marginal cost of the $10$ th student is $$125.$ In order to maximize profits, Kelly should

$[$a$]$ give language lessons to fewer than $10$ students per month.

$[$b$]$ give language lessons to more than $10$ students per month.

$[$c$]$ continue to give language lessons to $10$ students per month.

$[$d$]$ We do not have enough information to answer the question.

The figure below depicts a monopoly:

If the monopolist cannot price discriminate, then consumer surplus amounts to

$[$a$]$ $$2,000$

$[$b$]$ $$1,000$

$[$c$]$ $$550$

$[$d$]$ $$0$

Suppose a geopolitical conflict were to result in a trade embargo on the world's largest electric

vehicle battery producer. Suppose also new legislation provided subsidies to manufacturers of

semiconductors, also an input to electric vehicles. What do you expect to be the effect on

equilibrium in the electric vehicle market?

$[$a$]$ The price will increase, and the quantity will increase.

$[$b$]$ The effect on both the price and quantity will be ambiguous.

$[$c$]$ The quantity will increase and the effect on the price will be ambiguous.

$[$d$]$ Both the price and quantity will decrease.

Consider a market where demand is represented as P$=50-$Q and supply is represented by P$=10+$

Q$.$ If the world price is $$14,$ what would be the government revenue from a tariff of $$6?$

$[$a$]$ $$50$

$[$b$]$ $$100$

$[$c$]$ $$120$

$[$d$]$ $$180$

If a monopolistically competitive firm's demand curve is shifting to the right, it will stop when:

$[$a$]$ firms stop exiting the industry.

$[$b$]$ firms stop entering the industry.

$[$c$]$ the firm raises its price.

$[$d$]$ the firm lowers its price.

Tabulated above is a firm's production as a function of the number of workers it hires. With which

worker does the firm first experience diminishing marginal product?

$[$a$]2$

$[$b$]3$

$[$c$]4$

$[$d$]5$

Consider the diagram above. If there were a sudden reduction in demand, which is the most likely

scenario?

$[$a$]$ An initial surplus, followed by a price greater than $$11$ and a quantity lower than $10,000.$

$[$b$]$ An initial shortage, followed by a price greater than $$11$ and a quantity lower than $10,000.$

$[$c$]$ An initial surplus, followed by a price lower than $$11$ and a quantity lower than $10,000.$

$[$d$]$ An initial shortage, followed by a price lower than $$11$ and a quantity lower than $10,000.$

The graph below shows the market for a particular good.

Consider that the government implements a price ceiling at $$5.$ What is the value of consumer surplus

at the market price of $$6?$

$[$a$]20$

$[$b$]45$

$[$c$]105$

$[$d$]125$

A market has four individuals, each considering buying a grill. Assume that grills come in only one size

and model. Martina considers herself a grill$-$master, and finds a grill a necessity, so she is willing to pay

$$400$ for a grill. Javier is a meat$-$lover, honing his grilling skills, and is willing to pay $$350$ for a grill. Kamal

wants to impress his friends with his vegetable grilling skills and is willing to pay $$320$ for a grill. Lina loves

grilled shrimp and thinks it might be cheaper in the long run if she grills her own shrimp instead of

eating out at a restaurant, so she is willing to pay $$200$ for a grill. If the market price of grills increases

from $$310$ to $$350,$ which of the following statements is true?

$[$a$]$ The total consumer surplus would fall by $$90.$

$[$b$]$ Kamal and Ja