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March 27, 2017

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The differing goals of the Fed and Congress represent which type of problem?

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    47) Suppose the grocery store market in Kansas City is perfectly competitive. Then one store buys all
    the others and becomes a single-price monopoly. The figure above shows the relevant demand
    and cost curves. When the market is perfectly competitive, the price of a pound of steak is
    A) $4. B) $20. C) $8. D) $12. E) $2.

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    12

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