Which of the following would be classified as an externality?
a. Smoke from a chimney causes discolored and peeling paint on other houses in the neighborhood.
b. Noise from an unmuffled car wakes a sleeping person.
c. A neighbor cleans up a yard and repaints a house.
d. All of the above are externalities.
d
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The simultaneous import and export of goods in the same industry by a particular country is known as interindustry trade
a. True b. False Indicate whether the statement is true or false
Which statement is true?
A. The largest merger in history involved Chase Manhattan Bank. B. There have been only two mergers in our entire history valued at over $15 billion. C. It is illegal under our antitrust laws for two firms in the same industry to merge. D. None of these statements are true.
Which of the following is true about the Fed?
A. It has a lot of power to affect the inflation rate, but not the unemployment rate. B. It cannot directly affect the economy but it can influence institutions that can affect the economy. C. It has more power to affect the economy than any other institution. D. It has no real power since in the long run, money is neutral.
A summary of a country's economic transactions with foreign residents and governments is called the
A. balance of trade. B. financial account balance. C. balance of payments. D. current account balance.