In 2009 Al Gore won the Nobel Peace Prize and was awarded $1.4 million. He donated it to his Alliance for Climate Protection. From the economic point of view his charitable project suggests
A) Gore himself no longer faced scarcity because he was in a position to give so much of his money away.
B) the Alliance at least temporarily overcame scarcity because they enjoyed free resources.
C) it was chosen over other uses of his money, and therefore even Gore had to economize.
D) it was a ploy to gain more media attention after his Vice Presidency.
C
You might also like to view...
New growth theory economists believe that:
I. Economic growth can continue as long as we keep finding new ideas. II. The marginal product of capital diminishes very rapidly, so we must rely upon technological advances to create economic growth. A) I only B) II only C) both I and II D) neither I nor II
When people buy land, their purchases are included in GDP
a. True b. False
The idea of requiring motorists to pay to use the busiest streets in a city
a. has been proposed by many public officials, but to date the idea never has been tried in a major city anywhere in the world. b. was tried in New York City in the 1990s, but the result was more — not less — congestion on busy streets, and the experiment was short-lived. c. reflects the fact that a congested road is a public good. d. reflects the fact that a congested road is a common resource.
Figure 10-5
Figure 10-5 shows supply and demand conditions in a perfectly competitive industry and for a firm in that industry. At point C, the firm would
a.
earn zero economic profit.
b.
earn negative economic profit.
c.
have a zero opportunity cost of capital.
d.
have a negative opportunity cost of capital.