The state of Georgia offers free college tuition to high school students with a "B" average. In 2007, the state raised the requirement so that fewer students qualified for the scholarship
At the same time, Georgia increased state spending on health care. Suppose that college education is on the vertical axis and health care is on the horizontal axis of a PPF. These changes A) are example of a tradeoff.
B) are an example of incentives.
C) will cause a shift out of the PPF.
D) will cause a shift in the of the PPF.
A
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The total amount of consumer surplus and producer surplus is at its maximum when
A) consumers and producers are allowed to trade at the market clearing price. B) the government imposes a price floor that is higher than the market clearing price. C) the government imposes a price ceiling that is lower than the market clearing price. D) free market exchanges do not exist.
Over the last 50 years, poverty has been:
A. falling, and inequality has been rising. B. falling, and inequality has been falling as well. C. rising, and inequality has been rising as well. D. rising, and inequality has been falling.
In the long run, monopolistically competitive firms produce where demand equals average total cost
a. True b. False Indicate whether the statement is true or false
During the crises of the 1990s, restructuring of bank debt was difficult as the number of debtor and creditor countries was significantly large.
Answer the following statement true (T) or false (F)