The efficient quantity of a public good to produce is found where the marginal cost of producing an additional unit of the public good equals its marginal benefit. This occurs where the marginal cost curve intersects the ________ curve
a. marginal revenue
b. average cost
c. market demand
d. total cost
c
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According to the infant industry argument for trade protectionism
A) new industries are capable of competing with established rivals. B) trade barriers must be used to protect domestic workers. C) new industries need to be shielded from competition in the early stages of learning by doing. D) tariffs imposed to aid new industries should never be removed.
The M1 definition of the money supply includes:
a. currency in circulation and checkable deposits. b. Federal Reserve Notes, gold certificates, and checkable deposits. c. Federal Reserve Notes and bank loans. d. None of these.
The indirect provision of funds by savers to borrowers is accomplished by
a. banks and other financial markets. b. banks and other financial intermediaries. c. stock markets and other financial markets. d. All of the above are correct.
Within the Keynesian aggregate expenditures model, which of the following autonomous changes would decrease the equilibrium output?
A. A decrease in investment spending. B. An increase in net exports. C. An increase in government spending. D. An increase in consumption expenditures