When a person throws a cigarette out of a car window and starts a brush fire, this is
A) an example of an external benefit.
B) an example of an external cost.
C) an example of a public good.
D) an example of market power.
Answer: B
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What makes the demand curve of the perfectly competitive firm uniquely different from that of firms in other kinds of market structures?
What will be an ideal response?
Even though international trade is undertaken voluntarily, a country that engages in trade may not benefit from it.
Answer the following statement true (T) or false (F)
Which of the following is the primary source of cross-country differences in the real earnings of workers?
a. differences in natural resource endowments b. differences in the share of workers that are members of a labor union c. differences in output per worker d. access to modern technology e. differences in the average number of hours worked
The MRP is the additional ___________ obtained by using one more unit of input.
Fill in the blank(s) with the appropriate word(s).