There are two conditions necessary for a consumer to maximize her utility. One is that the marginal utilities per dollar spent on each good and service consumed are equal. What is the other condition?
A) The prices of each good and service consumed must not be too high.
B) Total spending on all goods and services must equal the amount available to be spent.
C) The consumer must be satisfied with the choices she makes.
D) The total spent on each good and service is the same.
B
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How do transfer payments function as negative taxes?
Attaining higher and higher levels of air cleanliness causes
A) additional costs to rise to increasingly high levels. B) larger and larger increases in per capita incomes. C) additional costs to fall to lower and lower levels. D) larger and larger marginal benefits to society.
Total reserves are
A. excess reserves. B. required reserves plus excess reserves. C. required reserves plus vault cash. D. required reserves.
Refer to the information provided in Table 24.1 below to answer the question(s) that follow.Table 24.1
Refer to Table 24.1. At an output level of $800 billion, disposable income equals ________ billion.
A. $800 B. $700 C. $600 D. $500