Refer to the table below and information. What project should the government select to achieve the maximum net benefit?
Assume that a government is considering a new social program and may choose to include in this program any number of four progressively larger projects. The marginal cost and the marginal benefits of each of the four projects are given in the table.
A. A
B. B
C. C
D. D
C. C
You might also like to view...
Suppose the Federal Reserve wants to increase the money supply. Which combination of actions would lead to the appropriate effect?
a. Increase the discount rate, decrease the reserve ratio, sell bonds. b. Increase the discount rate, decrease the reserve ratio, buy bonds. c. Decrease the discount rate, decrease the reserve ratio, buy bonds. d. Decrease the discount rate, increase the reserve ratio, buy bonds. e. Decrease the discount rate, decrease the reserve ratio, sell bonds.
Our net investment income from foreign countries is
A. greater than foreign investor's income from U.S. investments. B. less than foreign investor's income from U.S. investments. C. about the same as foreign investor's income from U.S. investments. D. less than half foreign investor's income from U.S. investments.
Looking ahead to how the shopkeeper is more likely to respond what price should the customer more likely to quote?
a. High price b. Low price c. Let the shopkeeper quote the price d. A compromised price between the high and the low
What happens to bond prices when the interest rate decreases?
a) They would decrease. b) They would increase. c) They would stay the same. d) They would fluctuate based on the quantity of money.