Consider a setting in which there is a negative externality, but no positive externality. The market outcome is __________________; government can bring about the ___________________ outcome if it sets a tax equal to the __________________
A) efficient; inefficient; MSC
B) efficient; inefficient; MEC
C) inefficient; efficient; MEC
D) inefficient; efficient; MPC
E) inefficient; efficient; MSB
C
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What was the original intent of the Federal Reserve Act of 1913?
What will be an ideal response?
Which of the following can be a signal of product quality to customers?
a. Discounts offered on bulk purchases of the product. b. Gift of complementary products offered to purchasers. c. The information provided by the salesperson about the product. d. A warranty provided along with the product.
Carlos Silva, a Colombian singer, goes on tour to the United States for one month, following high American demand for his live shows. Assuming that all the show's expenses are paid by the U.S. promoters, other things equal, the U.S. tour will bring about:
a. a decreased supply of Colombian pesos in the foreign exchange market. b. an increased supply of American dollars in the foreign exchange market. c. an increased supply of Colombian pesos in the foreign exchange market. d. a decreased demand for Colombian pesos in the foreign exchange market. e. an increased demand for American dollars in the foreign exchange market.
The main reason for holding _______ instead of ______ is that _______ is (are) useful for buying things.
a) bonds; money; bonds b) demand deposits; currency; demand deposits c) currency; demand deposits; currency d) money; interest-bearing assets; money e) interest-bearing assets; money; interest-bearing assets