Which one of the following is NOT a characteristic of public goods?
A) They are indivisible.
B) It is difficult to charge people on the basis of how much they use.
C) Public goods can be used by increasing numbers of people at no additional cost.
D) Public goods are subject to the principle of rival consumption.
D
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Use the following consumption schedule to answer the next question. Disposable income equals consumption at
A. point D. B. point C. C. point G. D. point A.
If Brazil has a comparative advantage relative to Cuba in the production of sugar cane, then
A) the opportunity cost of production for sugar cane is lower in Brazil than in Cuba. B) the implicit costs of production for sugar cane are lower in Brazil than in Cuba. C) the explicit cost of production for sugar cane is lower in Brazil than in Cuba. D) the average cost of production for sugar cane is lower in Brazil than in Cuba.
Suppose the United States decides to impose a $1,000 tax on every Japanese minivan sold in the United States. This is an example of
a. a tariff b. a subsidy c. comparative disadvantage d. the diversity of industry argument e. a quota
Which item in 2007 accounted for the least of total (federal, state, and local combined) government spending?
a. transportation b. education c. security d. conservation and natural resources e. interest on the debt