When a negative externality is present
A) the market price is too low.
B) the market price is too high.
C) the market price is at equilibrium.
D) none of these choices.
A
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A geologist tells the ACME Mining Company she's certain there is a gold vein one thousand feet below the surface of its property, but ACME still decides not to mine for that gold. How would an economist explain their decision?
A) The owners of ACME aren't as greedy as other mining operations. B) The owners of ACME probably distrust the geological reports. C) The owners of ACME feel the additional costs of mining for gold outweigh the additional benefits. D) The owners of ACME are ignorant of the basic principles of economics.
Due to various circumstances, several large firms have most of the sales in an industry. Which term describes this situation?
a. A natural monopoly b. A legal monopoly c. An oligopoly d. A cartel
The government computes measures of income other than GDP because these other measures usually tell different stories about overall economic conditions
a. True b. False Indicate whether the statement is true or false
Which of the following expenditures are included in consumption?
A. Personal medical services. B. Police services. C. Public parks. D. Public highways.