When the cost of producing a product is paid, at least in part, by someone other than the producer, the cost is referred to as
A) an external cost.
B) an external profit.
C) an external benefit.
D) an external/internal cost.
E) a public cost.
A
You might also like to view...
A stock mutual fund is generally
A) less risky than buying individual stocks. B) more risky than buying individual stocks. C) just as risky as buying individual stocks. D) a way for the rich to avoid taxes.
The TANF program was the result of _____
a. the New Deal b. the Great Society programs of President Johnson c. President Reagan's second term in office d. President Clinton's desire to end welfare as conventionally understood
What happens to the marginal revenue product curve of a factor as more of a complementary factor is hired?
A) It shifts to the left, because its marginal product decreases. B) It shifts to the left, because its marginal product increases. C) It shifts to the right, because its marginal product decreases. D) It shifts to the right, because its marginal product increases.
If the multiplier is greater than 1 an initial (autonomous) decrease in aggregate demand will be
A. Equal to the eventual decline in spending. B. Offset by an increase in planned investment. C. Much larger than the eventual decline in spending. D. Much smaller than the eventual decline in spending.