If people took external costs like pollution into consideration, they would on net:
A. consume a socially non-optimal amount of the goods causing the externalities.
B. not change their behavior to consume more or less of the goods causing externalities.
C. consume more of the goods causing these externalities.
D. consume less of the goods causing these externalities.
D. consume less of the goods causing these externalities.
You might also like to view...
A union can always get the wage rate it demands from a monopsonist, but not from a perfectly competitive employer
Indicate whether the statement is true or false
When Thelma got home from work today, she read that her country has just achieved economic efficiency. What does this mean for Thelma and her fellow citizens?
a. There will be a little less of everything available to them. b. The economy will provide the country’s citizens as much as possible. c. They are wasting resources by working too hard. d. They will have everything they want made available to them.
Briefly discuss the relationship between present value and each of the following:a) future valueb) timec) interest rate
What will be an ideal response?
The economy enters a period of robust economic growth that is expected to last for several years. How would this be reflected in the risk structure of interest rates?
A. A decrease in the term spread B. An increase in yields on tax-exempt bonds C. A decrease in the interest rate spread D. An inverted yield curve