Vouchers create the efficient outcome only if production is such that the marginal social cost
A) exceeds the marginal private benefit.
B) equals the marginal external benefit.
C) equals the marginal social benefit.
D) is decreased so it equals the marginal private cost.
C
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For a perfectly competitive firm, the market price of a good is
A) a given which the firm cannot change. B) determined by the firm in order to maximize its profit. C) equal to the firm's marginal revenue. D) Answers A and B are correct. E) Answers A and C are correct.
Which of the following criteria would make gold a poor medium of exchange?
A) value relative to its weight so that amounts large enough to be useful in trade can be easily transported B) Its value depends on its purity, and its purity is not easy to visibly identify. C) divisibility because different goods are valued differently D) durability so that value is not lost by spoilage
The currency adopted by most countries in Western Europe is referred to as the
A) euro. B) pound. C) Eurodollar. D) yen.
Over the last 50 years, has the ratio of household production to gross domestic product in the United States increased or decreased? Consider the effect of the increased number of women working outside the home, and the effect of advances in
technology in household production such as microwaves, coffee makers, power tools, etc.