Entry drives economic profits to zero
Indicate whether the statement is true or false
True
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Refer to Figure 5-16. What is the optimal quantity of street lights to install?
A) 3 B) 4 C) 6 D) 9
In 2013, per capita real GDP was roughly half its value in 1960
a. True b. False Indicate whether the statement is true or false
Which of the following is an important ingredient of efficient economic organization?
a. high marginal tax rates b. competitive markets c. rapid increases in the money supply d. imposition of high tariffs that will protect domestic producers from the ravages of foreign competition
When taxes or subsidies on a particular product are introduced into the general equilibrium model we can be sure that
A. subsidies make the product appear too cheap to its producer. B. we get too much of the subsidized product and too little of the taxed product. C. a more fair allocation of resources is possible. D. taxes make the taxed product appear too expensive to its producer.