Which of the following statements is true?
A. When the forces of supply and demand determine for whom goods are produced in a society, an equitable distribution of income will naturally result.
B. An external cost will occur when some of the benefits derived from production of some good or service are enjoyed by a third party.
C. One of the roles of the United States' government is to transfer some income from the rich and the middle class to the poor.
D. According to most economists' definition of competition, the American economy is very competitive.
C. One of the roles of the United States' government is to transfer some income from the rich and the middle class to the poor.
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What is the interest parity condition?
What will be an ideal response?
Many people consider lump-sum taxes to be unfair to low-income taxpayers
a. True b. False Indicate whether the statement is true or false
Money in the U.S. is essentially debt of:
A. Businesses and the banks B. The Federal Reserve System and the banks C. The national and local governments D. Businesses and the Federal Reserve System
Refer to the information provided in Figure 7.8 below to answer the question(s) that follow. 
Figure 7.8Refer to Figure 7.8. The general formula for the slope of any of the isocost lines is
A. -PK/PL. B. TC/PL. C. TC/PK. D. -PL/PK.