According to the Weak Coase Theorem, in the absence of transactions costs, the assignment of property rights has no effect on
a. damages paid by liable parties.
b. the distribution of income.
c. the allocation of resources.
d. economic efficiency.
d. economic efficiency.
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When the CPI increases from 200 in 2010 to 210 in 2011 and the nominal wage rate is constant at $10 an hour, the real wage rate ______
A. increases by 10 percent B. increases to $15 an hour C. decreases by 5 percent D. is $10 an hour
Modern liability management has resulted in
A) increased sales of negotiable CDs to raise funds. B) increase importance of deposits as a source of funds. C) reduced borrowing by banks in the overnight loan market. D) failure by banks to coordinate management of assets and liabilities.
Refer to the information provided in Figure 6.14 below to answer the question(s) that follow.
Figure 6.14Refer to Figure 6.14. If the price of an ice cream cone is $2, the price of ice cream sandwiches is
A. $2. B. $3. C. $50. D. $100.
The most efficient taxation system is a tax system that
A. is highly progressive. B. maximizes tax revenues. C. minimizes the overall excess burden. D. minimizes the total tax burden.