Suppose that the domestic production of computer games creates enjoyment for those who play the games. Domestic production of computer games also results in knowledge spillovers that positively impact many other industries. One possible policy that could be employed to encourage increased production of computer games by domestic firms is
A. to eliminate all restrictions on the importation of computer games.
B. to tax the production of computer games.
C. to tax the consumption of computer games.
D. to impose tariffs on computer game imports.
Answer: D
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The impact of saving on the economy is
a. always beneficial b. always harmful c. beneficial in the short run, but not in the long run d. beneficial in the long run, but not necessarily in the short run e. neutral in both the short run and the long run
Compared to the situation existing when the Kyoto Protocols were created,
A. India actually produces less greenhouse gasses (GHG). B. the U.S. Senate finally approved the treaty under pressure from President Bush. C. China produces two and one-half times more greenhouse gasses (GHG). D. the U.S. is producing less greenhouse gasses (GHG) than it had promised.
The price of a new car is $40,000 while the price of a five-year old car of the same brand is $16,000. The next year the price of the new car increases to $44,000 and the price of a five-year old car of the same brand is $17,600. The relative price of the used car
A. increased by 10 percent. B. remained constant at 0.4. C. decreased by $2,400. D. decreased by 10 percent.
Refer to the information provided in Figure 13.10 below to answer the question(s) that follow. Figure 13.10 Refer to Figure 13.10. The ________ is 1,000.
A. profit-maximizing number of subscribers B. shut-down point C. economically efficient number of subscribers D. break-even number of subscribers