A transfer program that uses means testing to identify who is eligible for benefits is known as
A. Social Security.
B. A cash transfer.
C. Welfare.
D. An in-kind transfer.
Answer: C
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A firm in monopolistic competition maximizes its profit by ________
A. differentiating its good and producing the quantity at which price equals marginal revenue B. producing the quantity at which marginal revenue equals marginal cost and then adding a markup C. raising its price and producing so that it always has excess capacity D. producing the quantity at which marginal cost equals marginal reve-nue and charging the highest price at which it can sell that quantity
Economic freedom refers to the freedom of the government to control resources and labor in a country
a. True b. False Indicate whether the statement is true or false
Corporate profits are taxed twice because
A) taxes are collected on profits before profits are distributed to shareholders. B) the government wants to minimize the amount of tax paid on capital gains. C) it is economically efficient to reduce the amount of retained earnings. D) capital gains are not indexed to the rate of inflation.
If you want to vote for the management of the corporation, you should buy
A. common stock. B. bonds. C. preferred stock. D. either common stock or preferred stock.