If an inefficient public monopoly cannot provide a service at a price that sufficient numbers of people are willing to pay it:
A. can remain in operation by covering its losses with revenue from taxes.
B. must shut down and leave the industry in the long run.
C. should expand operations until demand is satisfied.
D. will seek out more efficiencies.
A. can remain in operation by covering its losses with revenue from taxes.
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If the area between the line of equality and the Lorenz curve is 1,000, the Gini ratio is
A) 0.8. B) 0.2. C) 0.1. D) 0.5.
The region of the U.S. that benefited least from and fought hardest against raising tariffs in the first half of the nineteenth century was
(a) New England. (b) the Middle Atlantic states. (c) the South. (d) the West.
Which of the following indicates when Stage I ends and Stage II begins in the short-run production?
A) when AP = 0 B) when MP = 0 C) when MP = AP D) when MP starts to diminish
In a certain economy, the components of aggregate spending are given by: C = 500 + 0.8(Y - T) - 300rI = 200 - 400rG = 200NX = 10T = 150Given the information about the economy above, what would be the impact on aggregate expenditures of a one-percentage-point increase in the real interest rate (r)?
A. Aggregate expenditures would decrease by 35 units. B. Aggregate expenditures would decrease by 7 units. C. Aggregate expenditures would increase by 35 units. D. Aggregate expenditures would decrease by 700 units.