In the above figure, if no government intervention occurs, at the unregulated competitive market equilibrium, there is an
A) external marginal benefit of $2.
B) external marginal cost of $2.
C) external marginal benefit of $1.
D) external marginal cost of $3.
A
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In the monetarist view
A. inappropriate monetary policy is a major source of macroeconomic instability. B. adverse aggregate supply shocks are a major source of macroeconomic instability. C. changes in investment spending are a major source of macroeconomic instability. D. the fact that prices and wages are flexible is a major source of macroeconomic instability.
Who sets the rules for entitlements when spending is authorized under this category?
A) the agency involved B) the Congress when it appropriates the spending C) each individual state D) the President
In a competitive separating equilibrium, low cost consumers of insurance will not fully insure because insurance rates offered to them are not actuarily fair.
Answer the following statement true (T) or false (F)
In the foreign exchange market, a decrease in the exchange rate increases the quantity of dollars supplied
Indicate whether the statement is true or false