The theory of public choice suggests that
A. you can lower your tax bill if you are careful not to consume too many government resources, regardless of what your neighbors do.
B. government agencies tend to be inefficient because they are subject to institutional arrangements in which managers do not have an incentive to be efficient.
C. government agencies tend to be inefficient because the people running them do not understand the concept of opportunity cost.
D. the goods provided by government, whether public or private goods, are not scarce.
Answer: B
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Which of the following statements about scarcity is true?
A) Scarcity is not a problem for the wealthy. B) Scarcity is only a problem when a country has too large a population. C) Scarcity refers to the situation in which unlimited wants exceed limited resources. D) Scarcity only arises when there is a wide disparity in income distribution.
The U.S. exports computers with a domestic price of $100,000 and the yen/dollar exchange rate is 120 on January 1, 2003. On January 1, 2004 the yen/dollar exchange rate is 125
What is the yen price of the computers on January 1, 2003? What is the yen price of the computers on January 1, 2004?
Economic growth causes the
A) production possibilities curve to shift rightward and the long-run aggregate supply curve to shift rightward. B) production possibilities curve to shift leftward and the long-run aggregate supply curve to shift rightward. C) production possibilities curve to shift rightward and the long-run aggregate supply curve to shift leftward. D) production possibilities curve to shift leftward and the long-run aggregate supply curve to shift leftward.
Which of the following statements best describes the best public policy solutions for international trade?
a. The best public policy solutions involve some degree of protectionism, while finding other ways for public policy to address the particular issues, eventually allowing the benefits of international trade to occur. b. The best public policy solutions typically do not involve protectionism but instead involve finding ways for public policy to address the particular issues, while limiting the benefits of international trade to occur. c. The best public policy solutions typically do not involve protectionism but instead involve finding ways for public policy to address the particular issues, while still allowing benefits of international trade to occur. d. The best public policy solutions require protectionism, in addition to finding ways for public policy to address the particular issues, while still allowing the benefits of international trade to occur.