The greater the magnitude of the external benefits of production,
a. The larger is the deadweight loss from underproduction
b. The greater would be the optimal subsidy.
c. The further the private market solution ignoring those benefits would deviate from the socially efficient level of output.
d. All of the above are true
d
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In the long run, all of a firm's inputs are variable
Indicate whether the statement is true or false
With the passage of time as the availability of an exhaustible resource declines, the cost of extraction of the resource increases
a. True b. False Indicate whether the statement is true or false
Refer to the above table. If the price of the product is $1.50, what is the marginal revenue product of the 12th worker?
A. $1.50 B. $135 C. $1035 D. $90
Monetarists believe that in the short run:
a. the natural rate of unemployment cannot be changed. b. expansionary monetary policy is ineffective in raising real GDP. c. a change in the money supply is fully reflected in a change in the interest level. d. contractionary monetary policy will decrease unemployment. e. there is a tradeoff between unemployment and inflation.