A lump-sum tax minimizes deadweight loss
a. True
b. False
Indicate whether the statement is true or false
True
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Which of the following must be true if average total cost is rising?
a. Average fixed cost must be rising. b. Total fixed cost must be rising. c. Average variable cost must be falling. d. Marginal cost must be greater than average total cost.
An expansionary fiscal policy makes the exchange rate appreciate
a. True b. False Indicate whether the statement is true or false
Larry was accepted at three different graduate schools, and must choose one. Elite U costs $50,000 per year and did not offer Larry any financial aid. Larry values attending Elite U at $60,000 per year. State College costs $30,000 per year, and offered Larry an annual $10,000 scholarship. Larry values attending State College at $40,000 per year. NoName U costs $20,000 per year, and offered Larry a full $20,000 annual scholarship. Larry values attending NoName at $15,000 per year. Larry's opportunity cost of attending State College is:
A. $20,000 B. $35,000 C. $15,000 D. $30,000
In the bathtub analogy, which of the following is a stock variable?
A) the amount of investment B) the rate of depreciation C) the amount of capital-per worker D) the Cobb-Douglass value