Which of the following institutions would most likely impose price controls?
a. an environmental protection agency
b. a county government
c. an international corporation
d. a fast-food chain
b. a county government
You might also like to view...
The principal of optimization at the margin states that:
A) moving toward the optimal alternative makes the decision maker worse off, and moving away from it, makes the decision maker better off. B) an optimal alternative has the lowest indirect costs in comparison to other feasible alternatives. C) an optimal alternative has the highest net benefits in comparison to other feasible alternatives. D) moving toward the optimal alternative makes the decision maker better off, and moving away from it makes him worse off. Assume that there are five apartments located at different distances from an individual's place of work: very close, close, far, very far, and extremely far. The individual makes his choice by studying the change in costs as he moves farther from his place of work. She has to choose between renting one of the five apartments. The movement from apartment Very Close to Close has a marginal cost of -$60, a movement from apartment Close to Far has a marginal cost of -$40, a movement from apartment Far to Very Far has a marginal cost of -$10, and a movement from apartment Very Far to Extremely Far has a marginal cost of $20.
Which of the following was an implication of the U.S. government's Clean Air Act Amendments (CAAA) of 1977?
A) It acted as a barrier to entry. B) It increased consumer surplus. C) It reduced the profits of existing firms. D) It reduced the market power of existing firms.
According to the Phillips curve analysis, if policy makers reduce aggregate demand growth, they can lower inflation, but only at the cost of a: a. permanent increase in the natural rate of unemployment. b. permanent increase in the actual unemployment rate
c. temporary increase in unemployment. d. temporary decrease in the natural level of unemployment.
Assume that capital and labor are complementary inputs. If the firm increases the amount of capital it employs, this would
A. cause the firm to move down along the MP schedule for labor. B. shift the firm's MP schedule for labor to the left. C. cause the firm to move up along its MP schedule for labor. D. shift the firm's MP schedule for labor to the right.