If a government determines that the provision of services by museums should be encouraged, then this means that the government has judged museum displays to be a(n)
A. government-inhibited good.
B. government-sponsored good.
C. exclusive good.
D. public good.
Answer: B
You might also like to view...
If the marginal propensity to consume is 0.75, then the value of the tax multiplier is
A) -2.5. B) -3. C) 1.25. D) 1.4.
Which central bank gained the power to set interest rates independent of the government in the late 1990s?
A) Bank of England B) Bank of Canada C) Bank of China D) Federal Reserve Board
According to monetarists, the natural rate theory
a. denies the tradeoff between inflation and output. b. argues that there is a stable tradeoff between inflation and output. c. shows that activist policies work best. d. believes that the Phillips curve relationship breaks down when policymakers attempt to use it.
Prohibiting price increases in situations of true scarcity
a. prevents the market mechanism from reallocating resources more efficiently. b. discourages production. c. may lead to extreme shortages of vitally needed products. d. All of the above are correct.