If a good gives rise to substantial external benefits to society that are associated with its production and/or consumption, then the good likely has too many resources devoted to its production
a. True
b. False
Indicate whether the statement is true or false
False
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Refer to Figure 8.1. The ideal outcome for the players would be for Charla to play ________ and for Mirna to play ________
A) Install; Install B) Install; Don't Install C) Don't Install; Install D) Don't Install; Don't Install
Mass production was made possible by mass consumption, a national market and international trade
Indicate whether the statement is true or false
Under a pure price system, the decision of resource allocation is made by
A) the head of the government. B) a queen or king. C) individuals who own the resources. D) no one.
The EITC creates an incentive to understate income for workers whose earnings are less than the wage ceiling for maximum credit
Indicate whether the statement is true or false