According to the text, what best explains the price for federal land that would have maximized real GNP?
a. Some price above zero that maximizes government revenues to be redistributed fairly to the people.
b. Some price above zero that minimizes negative environmental externalities.
c. A price equal to zero that eliminates the welfare loss associated with land not used for production.
d. A subsidized price that distributes land based on egalitarian principles.
c. A price equal to zero that eliminates the welfare loss associated with land not used for production.
You might also like to view...
Suppose y = Ak1/4, the capital-labor ratio is $40,000 per worker, the level of total factor productivity is 800, 70% of the population works, and there are 70 million workers. Real GDP per capita is
A) $3,500.00. B) $5,543.72. C) $7919.60. D) $9,899.50.
Spending VCU4 on real-world goods and services causes the nation's:
a. Monetary base to fall. b. M2 money supply to fall. c. M2 money multiplier to fall. d. Monetary base to remain the same.
Both a perfectly competitive firm and a monopolist find that:
A. price is less than marginal revenue. B. it is best to expand production until the benefit and the cost of the last unit produced are equal. C. they can sell as many units of output as they want at the market price. D. price and marginal revenue are the same.
If consumption is $8 billion, investments is $4 billion, government purchases are $2 billion, imports are $1 billion, and exports are $2 billion, GDP must equal:
A. $16 billion. B. $17 billion. C. $15 billion. D. $14 billion.