The government can both set the efficient level of output in a market and maximize surplus by correcting for a negative externality by using:
A. a tariff.
B. a subsidy.
C. a tradable allowance.
D. a quota.
C. a tradable allowance.
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According to the graph shown, if this economy were to open to trade, the amount consumed domestically would:
This graph demonstrates the domestic demand and supply for a good, as well as the world price for that good.
A. increase by 35.
B. increase by 90.
C. decrease by 35.
D. decrease by 90.
A technology spillover occurs when one firm's research and production increase another firm's access to technological advances
a. True b. False Indicate whether the statement is true or false
Fiat money differs from commodity money in that
a) only fiat money can be made legal tender b) fiat money has no intrinsic value c) fiat money is backed by gold d) only fiat money can serve as a unit of account e) only commodity money can serve as a store of value
On the basis of the data we can say that:
Answer the question on the basis of the following information for four highway programs of increasing scope. All figures are in millions of dollars.
A. Program D is the most efficient on economic grounds.
B. Program C is the most efficient on economic grounds.
C. Program B is the most efficient on economic grounds.
D. Program A is the most efficient on economic grounds.