A person removes the anti-pollution devices on his automobile. An external cost associated with this is
A. the feeling of guilt the person feels for violating the law.
B. the ticket he gets when a highway patrol officer pulls him over.
C. the man buys less gasoline, reducing the income of local gas stations.
D. the man's neighbor washes his car more often because of increasing smog.
Answer: D
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Refer to Figure 4.1. Theodore is the ________ player
A) row B) column C) chapter D) page
When Monica's Catering lowered the price of catered meals from $60 per person to $20 per person, the quantity demanded doubled from 500 meals to 1,000 meals
You can conclude that the demand for Monica's catered meals over the price range of $20 to $60 is A) upward sloping. B) unit elastic. C) elastic. D) inelastic.
With increased specialization in the economy, principal-agent problems become
a. more numerous b. less numerous c. more severe, but there are fewer of them d. less severe, but there are more of them e. easier to solve
Which of the following statements is false?
a. A discouraged worker is counted as an unemployed worker. b. The frictional unemployment rate is greater than the natural unemployment rate. c. The natural unemployment rate is greater than the structural unemployment rate. d. The natural unemployment rate is equal to the sum of the frictional unemployment rate and the structural unemployment rate. e. a and b