Which of the following is an example of government intervention to solve a Tragedy of the Commons problem?
a. subsidizing basic research
b. building lighthouses
c. toll charges on congested roads
d. cost-benefit analysis
c
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Owners of a corporation share in the profits of the firm
A) through dividend payments on shares of that firm's stock. B) by raising the interest rate on bonds. C) through coupon payments on that firm's bonds. D) by selling any bonds or stocks owned and realizing a capital gain.
The difference between money and income is that whereas income is an individual's
A) flow of earnings over a period of time, money is an individual's stock of currency and currency substitutes. B) stock of all assets, money is an individual's stock of currency and currency substitutes. C) flow of earnings over a period of time, money is an individual's stock of all assets. D) stock of currency and currency substitutes, money is an individual's stock of all assets.
Which of the following best explains why economists are generally critical of unregulated monopolists?
a. Monopolists do not try to minimize their costs of production. b. Monopolists produce where marginal revenue is greater than marginal costs. c. Monopolists attempt to produce too many products, and as a result, their prices are high, and consumers waste time trying to choose between too many options. d. Monopolists restrict output, and as a result, they fail to produce units that are valued more than the marginal cost of producing them.
A microeconomy
What will be an ideal response?