Graphically, the presence of an external cost that is ignored by producers can be shown as
A) a market supply curve to the left of the market supply curve for where the producers have to pay for the external cost.
B) a market supply curve to the right of the market supply curve for which the producers have to pay for the external cost.
C) a market supply curve the same as the market supply curve for which the producers have to pay for the external cost.
D) the absence of a market supply curve.
B
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A monopolistically competitive firm always faces a(n) ________
A) horizontal demand curve B) vertical demand curve C) upward sloping demand curve D) downward sloping demand curve
Andrew and Sarah are two traders in a pure exchange economy with two goods, Bikes and TVs. Suppose Andrew has preferences given by: U(B,T) = BT where B is the number of bikes and T is the number of TVs
Sarah only derives utility from TV, so her utility function can be given by: V(B,T) = T Describe the contract curve.
The opportunity cost of going to college includes the costs of tuition, books, fees, and
a. nothing else b. housing c. housing and food d. earnings forgone by not working full-time e. housing, food, and earnings forgone by not working full-time
In 2008, federal, state, and local redistribution programs were most close to
a. $20.0 trillion b. $200.0 billion c. $2.0 billion d. $200.0 trillion e. $2.0 trillion