The idea that individuals can reach an efficient equilibrium through private trades, even in the presence of an externality, is called:
A. market failure.
B. trade quotas.
C. the Coase theorem.
D. the invisible hand.
C. the Coase theorem.
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Starting from long-run equilibrium, an increase in autonomous investment results in ________ output in the short run and ________ output in the long run.
A. lower; potential B. higher; higher C. lower; higher D. higher; potential
For a normal good, an increase in consumer income will lead to I. a movement down the demand curve II. a rightward shift in the demand curve III. a reduction in supply
A) I only B) II only C) III only D) Both II and III
In an internal labor market, employees often spend too much time lobbying for promotions or preferred job assignments. These are referred to as
A. human capital costs. B. influence costs. C. administrative costs. D. market costs.
Who reports the official U.S. unemployment rate?
a. the U.S. Treasury Department b. the U.S. Federal Reservethe c. U.S. Bureau of Labor Statistics d. unemployment collection offices