What perspective do economists use to evaluate the issue of the amount of pollution control?
Please provide the best answer for the statement.
Economists consider the issue of pollution control from a cost-benefit perspective. The costs of pollution abatement should not be greater than the benefit to society from reducing pollution. Economists also recognize that market forces (prices and profits) provide incentives for producers and consumers to adjust pollution emissions to achieve the desired outcomes. The optimal reduction of pollution externalize occurs when society’s marginal cost and marginal benefit of reducing that pollution externalize are equal (MC = MB).
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Refer to Figure 3.2. Betty's dominant strategy is
A) North. B) West. C) East. D) Betty has no dominant strategy.
On any given day, a salesman can earn $0 with a 40% probability, $100 with a 40% probability, or $300 with a 20% probability. His expected earnings equal
A) $0. B) $100 because that is the most likely outcome. C) $100 because that is what he will earn on average. D) $200 because that is what he will earn on average.
If the price of inputs rises and foreign income rises:
a. Aggregate demand rises, but aggregate supply does not change. b. Aggregate demand falls, and aggregate supply rises. c. Aggregate demand and aggregate supply fall. d. Neither aggregate demand nor aggregate supply change. e. Aggregate demand rises, and aggregate supply falls.
Which of the following does not meet the economic definition of saving?
A. A graduate assistant spends all of his income on tuition B. A student deposits money in her savings account C. A professor spends less than he makes each month D. The president's secretary puts cash under her mattress