An externality is:
A.) A cost or benefit of a market activity that impacts a third party.
B.) The private costs that are borne by an individual.
C.) The cost of clean up paid for by the polluter.
D.) A situation in which the government solution makes the outcome worse.
A.) A cost or benefit of a market activity that impacts a third party.
B.) The private costs that are borne
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Compared to the world, the rate of U.S. population growth is
A) slower than in the world as a whole. B) about the same as in the world as a whole. C) much faster than in the world as a whole. D) incomparable because U.S. residents are born with a much greater chance of accumulating a lot of human capital. E) incomparable because we do not have accurate world population statistics.
The health care system in Canada is referred to as ________, and is a system in which the government provides national health insurance to all Canadian residents
A) an out-of-pocket system B) a single-payer health care system C) a universal health insurance system D) socialized medicine
Nancy is considering forming a 5 year business partnership with Claudia. Nancy believes her portion of the partnership will generate the following profits:
Year Profits Present Value 1 $2,000 2 $4,000 3 $12,000 4 $15,000 5 $18,000 Nancy's appropriate discount rate is 6%. To join the partnership, Nancy needs to invest $30,000. Does the partnership offer a rate of return in excess of 6%?
Suppose a single firm supplies all the ceramic windlasses in the U.S. The demand curve that firm faces is
a. elastic everywhere b. unit elastic everywhere c. inelastic everywhere d. perfectly inelastic everywhere e. elastic at the profit-maximizing quantity