Externalities may be internalized by

A. government-imposed taxes and subsidies.
B. regulation.
C. legal rules and procedures.
D. All of the choices are correct.


D. All of the choices are correct.

Economics

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If a 10 percent cut in the price of video rentals at "That's Rentertainment" causes a 15 percent increase in the quantity of rentals demanded, then

a. total revenue will decrease b. demand is price inelastic within that price range c. demand is price elastic within that range d. demand is unit elastic within that range e. total revenue will remain the same

Economics

Which of the following countries has had the more successful transition?

a. Poland b. Russia c. Kazakstan d. Georgia e. Kyrgystan

Economics

If a firm experiences constant returns to scale at all output levels, then its long-run average total cost curve would

a. slope downward. b. be horizontal. c. slope upward. d. slope downward for low output levels and upward for high output levels.

Economics

Use the following marginal benefit and marginal cost functions for activity A: MB = 100 - 5AMC = 20 + 3AThe fifth unit of activity A will

A. decrease net benefits by 40. B. increase net benefits by 75. C. reduce net benefits by 75. D. reduce net benefits by 35. E. increase net benefits by 40.

Economics