The deadweight loss from a tax is the reduction in producer and consumer surplus minus the tax revenue transferred to the government
a. True
b. False
Indicate whether the statement is true or false
True
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Steel producers lobbying to keep imports out is an example of:
A. objective cost-benefit analysis. B. rent-seeking behavior. C. rational ignorance. D. corruption.
Which of the following is an outcome of economic variables not moving in sync with inflation?
a. unintended redistributions of purchasing power b. intentional redistributions of purchasing power c. better long-term planning d. decrease in blurred price signals
Which of the following is true in long-run equilibrium for both perfect competition and monopolistic competition?
A. Accounting profit is zero. B. Marginal cost equals price. C. Long-run average cost is at a minimum. D. Economic profit is zero.
What are three basic sources of economic profit? Which ones are most beneficial for society?
What will be an ideal response?