Which of the following statements is correct?
a. Government should tax goods with either positive or negative externalities.
b. Government should tax goods with negative externalities and subsidize goods with positive externalities.
c. Government should subsidize goods with either positive or negative externalities.
d. Government should tax goods with positive externalities and subsidize goods with negative externalities.
b
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Financial intermediaries are able to act as delegated monitors for individual savers because
A) other investors are unable to gain a free ride on their monitoring efforts. B) borrowers consider this role to be traditional for financial intermediaries and are willing to put up with it. C) the federal government has granted them waivers from laws protecting privacy. D) they employ a vast network of private detectives to carry out their monitoring role.
In order to formulate whether or not the alternative hypothesis is one-sided or two-sided, you need some guidance from economic theory
Choose at least three examples from economics or other fields where you have a clear idea what the null hypothesis and the alternative hypothesis for the slope coefficient should be. Write a brief justification for your answer. What will be an ideal response?
The demand for a product is more elastic
a. When it has few substitutes b. In the long-run c. When the expenditure on the product represent a small portion of the budget d. When the product is broadly defined
If the public takes funds from currency in circulation and deposits them into their checking accounts, the:
a. M1 and M2 money multipliers fall. b. M1 and M2 money multipliers rise. c. M1 and M2 money multipliers do not change. d. M1 money multiplier rises, and the M2 money multiplier falls. e. M1 money multiplier falls, and the M2 money multiplier rises.