The table above provides information about the marginal private benefit of education. The marginal private cost, which also equals the marginal social cost, of educating a student is $16,000 per year and does not change as more students are educated
There is an external benefit from education that is equal to $12,000 per student year and does not change as more students are educated. If the market for education is competitive and unregulated, the equilibrium quantity of education will be ________ and the tuition will be ________. A) 20,000 student-years; $20,000
B) 40,000 student-years; $16,000
C) 60,000 student-years; $12,000
D) 80,000 student-years; $8,000
B
You might also like to view...
If the real interest rate rises,
A) the quantity of loanable funds demanded decreases. B) the demand for loanable funds curve shifts leftward. C) the demand for loanable funds curve shifts rightward. D) the quantity of loanable funds demanded increases. E) there is is movement down along the demand for loanable funds curve.
A supply curve shows the marginal
A) benefit consumers receive from consuming a good. B) profit businesses earn from selling a good. C) cost of producing the good. D) price paid for a good. E) benefit sellers receive from selling a good.
Comparing proprietorships with partnerships, which is TRUE?
A) In both cases, profits are taxed only once. B) Partnerships outnumber proprietorships 2-to-1 in the United States. C) Proprietorships generally end with the death of the owner, but partnerships continue as long as at least one partner survives. D) A proprietor faces unlimited liability for her firm's debts, but in a partnership each partner is only responsible for an even share of the firm's indebtedness.
Answer the following statements true (T) or false (F)
1. The U.S. unemployment rate excludes unemployed workers who are not actively seeking work. 2. The demand for unskilled workers has been growing as a percent of total U.S. labor force in recent years. 3. A sizable part of increases in the U.S. labor force in the past few decades has been due to the influx of women. 4. Service-oriented jobs make up more than three-quarters of total employment in the U.S. labor force. 5. The number and the percentage of U.S. workers in labor unions have decreased in the past decade.