In the parable of the leaky bucket, a fundamental problem with government redistribution programs is identified. As long as the government only has "leaky buckets" at its disposal,
a. the costs of welfare programs will exceed the benefits.
b. it should not try to reach complete equality in income.
c. income equality will be the best policy option.
d. equality of economic opportunity will reduce society's utility.
b
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The table above lists six points on the production possibilities frontier for grain and cars. What is the opportunity cost of producing the 5th ton of grain?
A) 16 cars per ton of grain B) 6 cars per ton of grain C) 3 cars per ton of grain D) 2 cars per ton of grain
The gross domestic product of Solvasa, a small island country, is U.S. $68 billion. The adult population of the country is 8.70 million and 11.3 million citizens are below 18 years of age. The output per capita of Solvasa is approximately equal to _____
a. $7,800 b. $3,400 c. $6,017 d. $5,201 e. $6,950
Human societies have typically run out of resources before substitutes have been discovered or developed
Indicate whether the statement is true or false
Explain why on average the profit levels for invention and entrepreneurship are generally so low