When network externalities are present:
A. a person's demand cannot be affected by the number of other people who have purchased the good.
B. we can obtain the market demand curve simply by summing individuals' demands.
C. one person's demand also depends on the demands of other
people.
D. the social cost of production is larger than the private cost
C. one person's demand also depends on the demands of other
people.
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In order to maximize its profits, a price-taking firm should produce the level of output at which:
A) total revenue = total cost. B) average revenue = average cost. C) variable revenue = variable cost. D) marginal revenue = marginal cost.
Education accounts for the largest share of state and local government spending
a. True b. False Indicate whether the statement is true or false
If the stock market plunged over the next week, consumers would:
A. Rush to buy more goods and services. B. Buy more stocks to make up for their losses. C. Demand fewer goods and services. D. Cause the aggregate demand curve to shift to the right.
"Pork-barrel" legislation that contains funding for hundreds of earmarks throughout numerous states often reflects:
A. the paradox of voting. B. logrolling. C. the benefits-received principle. D. adverse selection.