The U.S. Federal government limits the ability for private firms to harvest timber on much government land. This, it is argued, increases the amount of fuel for wildfires which often burn out of control and cost money and manpower to control
A) This suggests that the policy addressing one positive externality might have created another positive externality.
B) This suggests that those who harvest timber are prone to starting wildfires.
C) This suggests that the policy addressing timber harvesting created a negative externality.
D) This suggests that government policy is destined to fail.
C
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Many people believe that pure monopolies charge any price they want to without affecting sales. Instead, the output level for a profit-maximizing pure monopoly occurs where ________.
A. marginal cost equals average revenue B. average total cost equals average revenue C. marginal revenue equals average cost D. marginal revenue equals marginal cost
Explain the output and factor substitution effects of an increase in the price of capital on theDemand for labor by a firm that produces output using both capital and labor
What will be an ideal response?
Capital inflows occur if:
A) domestic interest rates are higher than foreign interest rates. B) domestic interest rates are lower than foreign interest rates. C) domestic and foreign interest rates are the same. D) none of the above.
The antitrust legislation that made it illegal for a firm to buy a competitor's voting stock was the
a. Sherman Antitrust Act b. Cellar-Kefauver Act c. FTC Act d. Robinson-Patman Act e. Clayton Act