A market transaction causes an externality if someone
a. directly involved in the transaction receives uncompensated benefits or costs from it.
b. not directly involved in the transaction receives uncompensated benefits or costs from it.
c. directly involved in the transaction seeks legal assistance to ensure that the transaction is carried out.
d. not directly involved in the transaction interferes in it by imposing regulations or product standards.
B
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________ economists believe that the economy is self-regulating and will be at full employment as long as monetary policy is not erratic
A) Keynesian B) Monetarist C) Classical D) All
Given the following information, calculate personal consumption expenditures
GDP $5,000 Gross Private Domestic Investment $1,500 Government Consumption Expenditures and Gross Investment $1,000 Net Exports -$500
Which of the following statements is true about Tyson Foods, Inc?
a. The company has faced synchronized movements in the prices of its inputs in the recent past. b. Tyson has been able to keep its chicken prices more or less stable over the last five years because the prices of its major inputs have not fluctuated too much. c. The company restructured itself to deal with the more complex risks associated with the business today. d. Tyson assigned responsibilities of risk management to employees familiar with the different commodities it handled in order to establish a self-contained unit.
When a union raises the wage above the equilibrium level,
a. both the quantity of labor supplied and unemployment rise. b. both the quantity of labor supplied and unemployment fall. c. the quantity of labor supplied rises and unemployment falls. d. the quantity of labor supplied falls and unemployment rises.