In producing the efficient amount of a public good, government should take into account:
A. only the demand from high-demand consumers.
B. only the demand from low-demand consumers.
C. the horizontal sum of all individual inverse demand curves.
D. the vertical sum of all individual inverse demand curves.
Answer: D
You might also like to view...
What will a price ceiling that is non-binding do?
a) It will cause a surplus in the market. b) It will cause a shortage in the market. c) It will cause the market to be less efficient. d) It will have no effect on the market price.
Assets that are used for money that have intrinsic value generally keep:
A. a less steady value than those that don't. B. just as steady a value as those that don't. C. a more steady value than those that don't. D. a value that is not comparable to other assets.
Exhibit 12-2 Lorenz curve
As shown in Exhibit 12-2, the distance between points B and D means that 60 percent of families earn ____ less of total income than required for perfect equality.
A. 30 percent B. 50 percent C. 60 percent D. 90 percent
Which of the following would help reduce our trade deficit?
A. Reduce our trade deficit with China B. Lower our dependence on oil imports C. Reduce our consumption habits D. All of the choices would help reduce our trade deficit.