A government subsidy
A) is a policy that can be used to help eliminate the deadweight loss from an external cost.
B) can help achieve an efficient amount of output when the good has an external benefit.
C) increases consumers' marginal benefit from the good.
D) Both answers A and C are correct.
E) Both answers B and C are correct.
B
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The profit earned from selling an asset for more than you paid for it is called
A. capital gains. B. the real interest rate. C. depreciation. D. appreciation.
An increase in the inflation rate increases employment only if the increase in inflation is unexpected
Indicate whether the statement is true or false
Figure 9-3
?
In Figure 9-3, equilibrium GDP is
A. $2,000 billion. B. $3,000 billion. C. $4,000 billion. D. $5,000 billion.
The measure of GDP is
A. Horizontally focused. B. Vertically focused. C. Globally focused. D. Geographically focused.