Which of the following is an example of a government action to internalize a cost externality?
A) a fine imposed on a company that pollutes a stream
B) the closing of a public library
C) a sales tax on jewelry
D) the increase on bridge tolls
A
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What would best describe the international capital markets?
A) the market of exchange of bonds B) the market of exchange of stocks C) the market of exchange of real-estate D) the market in which residents of different countries trade assets E) the currency market
If a country is exporting a good, this is because the country has an absolute advantage in the production of that good
a. True b. False Indicate whether the statement is true or false
According to the textbook, if a wave of pessimism cause stocks to become generally overvalued, the best investment strategy is to
A. sell as many stocks as possible. B. continue to diversify your investment portfolio. C. buy only government bonds. D. hold all available stocks and sell them later.
Recall the Application about the attempt to form a salt cartel in the 19th century to answer the following question(s).Recall the Application. One of the primary goals of the salt producers who tried to form a cartel was to:
A. establish a uniform price for salt. B. boost the demand for salt. C. establish an export market for salt. D. increase competition in the market for salt.