Which of the following is not an in-kind subsidy?
a. SNAP (food stamps).
b. Low-cost rental housing.
c. Medicare.
d. Medicaid.
e. Unemployment compensation.
e
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Monopolies are socially inefficient because the price they charge is
a. equal to marginal revenue. b. above marginal cost. c. equal to demand. d. above demand.
Use the following graph to answer the next question.If the economy is in equilibrium at point B and full employment output is at point A, the most appropriate fiscal policy would be
A. to reduce government purchases and increase taxes. B. to reduce government purchases. C. to increase taxes. D. to increase government purchases.
In the market in Figure 15.1, the government, in theory, can get the socially optimum output by:
A. subsidizing the consumption of the good by the right amount. B. taxing the production of the good by the right amount. C. restricting the production of the good to less than what the market produces. D. All of these
Explain what types of policies a central bank can implement to raise the interest rate
What will be an ideal response?