When private and social costs are equal,
A. Government failure occurs.
B. There is no opportunity cost.
C. Market failure occurs.
D. There are no external costs.
Answer: D
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If the Fed raises the interest rate, this will ________ inflation and ________ real GDP in the short run
A) reduce; lower B) reduce; raise C) increase; raise D) increase; lower
Why doesn't the age-earning cycle continuously increase until retirement age?
What will be an ideal response?
The long run success of a collusion a. Is limited by ease of entry into the industry
b. Is enhanced by ease of entry into the industry. c. Is unaffected by the ease of entry into the industry. d. Could be either limited by or enhanced by ease of entry into the industry.
A positive externality will cause a market to produce: a. more than the efficient equilibrium output level. b. iless than the efficient equilibrium output level. c. the efficient equilibrium output level
d. None of the above.