In the market for loanable funds in an open economy, the demand for loanable funds:
A. can be demanded for domestic investment or international investment.
B. is equal to national income.
C. is equal to private investment.
D. is equal to public investment.
A. can be demanded for domestic investment or international investment.
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Marginal revenue product is essentially the additional revenue generating from selling one additional unit of output.
Answer the following statement true (T) or false (F)
Which word best completes the following sentence? A rational decision maker always chooses the option for which marginal benefit is __________ marginal cost
a. less than b. equal to c. unrelated to d. more than
"Cap-and-trade" programs:
A. create a market for pollution rights. B. use private bargaining to establish the optimal quantity of emissions. C. charge polluters an emission fee. D. are an example of a direct control.
Which of the following is most likely to generate a surplus?
A) a price floor B) a price ceiling C) an illegal market D) all of these