In the cost-benefit analysis of public goods, the benefits
A. Can be accurately measured using the market price of the public good.
B. Are more easily estimated than the costs.
C. Can be only roughly estimated using highly subjective techniques.
D. Can be accurately measured by ballot box economics.
Answer: C
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The data in the table above shows the consumption by families in a small (poor) economy. The families consume only salt and bread. The reference base period is 2011. The inflation rate between 2011 and 2012 is
A) 52.5 percent. B) 123.1 percent. C) 23.1 percent. D) 18.8 percent. E) 118.8 percent.
The table gives the demand and supply schedules for fireworks on the Island of Big Bang. In the past, because many deaths have resulted from accidents involving fireworks, the government has banned fireworks and is enforcing the ban
A $5 a firework penalty on buyers of fireworks and a $4 a firework penalty on sellers will reduce the number of fireworks bought to ________ a week and the price paid by buyers will be ________ a firework. A) 80; $7 B) 40; $13 C) 0; an unknown amount D) 160; $11
Exhibit 30-3 Costs of Eliminating:Firm A Firm B Firm C 1st ton of pollution$ 30 $ 50 $ 600 2nd ton of pollution$ 70 $ 90 $ 700 3rd ton of pollution$125 $150 $ 900 4th ton of pollution$200 $250 $1,300 Refer to Exhibit 30-3. Suppose that Firms A, B, and C are the only polluters in the state and that each emits 4 tons of pollution into the atmosphere. To cut the level of pollution in half the government issues two transferable pollution permits to each firm (a cap and trade policy). What is the total cost savings to society of decreasing pollution to half its present level if firm C buys one pollution permit from firm A and one pollution permit from firm B compared to if there were a government mandate for each firm to cut pollution by one-half?
A. $515 B. $1,300 C. $1,380 D. $965 E. $1,025
There is no trade-off between efficiency and equality
a. True b. False Indicate whether the statement is true or false