If it's possible to eliminate the problems created by externalities, why do they persist?
A. Correcting externalities would always reduce total surplus.
B. It is difficult to measure external benefits and costs.
C. The benefits of correcting the externalities generally exceed the costs.
D. None of these statements is true.
B. It is difficult to measure external benefits and costs.
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The ability of an individual, firm, or country to produce a certain good at a lower opportunity cost than other producers is referred to as:
A) marginal advantage. B) absolute advantage. C) cardinal advantage. D) comparative advantage.
The discovery of new oil deposits will cause
A) the long-run aggregate supply curve to shift to the right and the short-run aggregate supply curve to shift to the left. B) the long-run aggregate supply curve to shift to the right, but not the short-run aggregate supply. C) the short-run aggregate supply curve to shift to the right, but not the long-run aggregate supply curve. D) both the long-run and the short-run aggregate supply curves to shift to the right.
The monopolist's outcome happens at a:
A. lower price than the perfectly competitive one. B. higher price than the perfectly competitive one. C. higher quantity than the perfectly competitive one. D. equal quantity that is equal to a perfectly competitive one.
Karl Marx predicted that the exploitation of workers would cause capitalism to self-destruct
a. True b. False Indicate whether the statement is true or false