When considering international trade, which of the following would be most conducive to domestic economic growth?
A) a closed economy
B) an economy in which its domestic industries are protected by tariffs
C) an economy with free and open markets to the outside world
D) an economy in which most decisions are made by a central governmental authority
C
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The figure above shows the market for college education in the United States. If there is no external benefit from a college education and the government does not intervene in the market, then the equilibrium tuition of college education is
A) $13,000. B) $16,000. C) $20,000. D) $7,000. E) None of the above answers is correct.
When the inflation rate is positive, the
A) real interest rate is greater than the nominal interest rate. B) real interest rate is less than the nominal interest rate. C) nominal interest rate is zero. D) real interest rate equals the nominal interest rate.
List four sources of market failure
What will be an ideal response?
Economics is the social science that describes the way individuals and societies allocate resources to satisfy human wants
Indicate whether the statement is true or false