Describe the conditions under which a common resource is used efficiently
What will be an ideal response?
A common resource is used efficiently when the marginal social benefit equals the marginal social cost at the quantity produced.
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If producers have an expectation of higher future prices, the supply of the good that is currently available
A) will be all that is produced. B) will decrease. C) will not change. D) will increase.
The definition of the adult population is those who are 16 years and older and who are
A) employed or unemployed. B) in the labor force. C) in the labor force or not in the labor force. D) not in the labor force.
________ efficiency occurs when the firm produces a rate of output at which marginal cost equals the marginal benefit that consumers derive from the good. ________ efficiency occurs when the firm produces at the minimum point on its long-run average-cost curve
a. Social; allocative b. Productive; accounting c. Allocative; productive d. Economic; allocative
According to the text, over 40 percent of member nations of the International Monetary Fund have
A. a managed floating exchange rate. B. an independently floating exchange rate. C. a fixed exchange rate. D. no separate legal currency.