A major difference between tariffs and import quotas is that
a. tariffs create deadweight losses, but import quotas do not.
b. tariffs help domestic consumers, and import quotas help domestic producers.
c. tariffs raise revenue for the government, but import quotas create surplus for those who get the licenses to import.
d. All of the above are correct.
c
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Chapter 15 suggests that the Community Reinvestment Act (CRA) provides an example of
A) bad intentions and bad unintended consequences. B) good intentions and bad unintended consequences. C) bad intentions and good unintended consequences. D) good intentions and good unintended consequences.
Some economists argue that Microsoft become a monopoly in the market for computer software by developing MS-DOS, an operating system used for the first IBM personal computers
The more people who used MS-DOS-based programs, the greater the usefulness of a using a computer with an MS-DOS operating system. The explanation for Microsoft's monopoly is A) the development of new technology that other firms could not copy. B) network externalities. C) patents Microsoft obtained when it developed the MS-DOS operating system. D) control of a key resource which, in this case, is the MS-DOS operating system.
An example of an intermediate good would be:
A. the rice used to make Chex cereal. B. a bag of Uncle Ben's rice sold to consumers. C. a bag of Quaker's rice cakes sold to consumers. D. All of these are intermediate goods
The supply of loanable funds is determined by all of the following except
A. Risk. B. Time preferences. C. Demand for loanable funds. D. Interest rates.