When good X is produced, some people benefit. A free-rider problem arises when
a. the number of people who benefit is small and it is impossible to prevent anyone from benefiting.
b. the number of beneficiaries is small and it is possible to prevent some people from benefiting.
c. the number of beneficiaries is large and it is impossible to prevent anyone from benefiting.
d. the number of beneficiaries is large and it is possible to prevent some people from benefiting.
c
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The Classical macroeconomic model proposes that
A) real GDP equals potential GDP as long as inflation equals zero. B) government intervention is required to help the economy reach its potential. C) changes in the quantity of money are critical in driving economic growth. D) socialism produces the most efficient economic outcomes for a society. E) markets work efficiently to produce the best macroeconomic outcomes.
Which of the following increases total factor productivity?
A) investment in machinery B) a harsh winter C) better access to credit D) new production procedures
Savings and loan associations created which type of money?
a. demand deposit accounts b. money market mutual fund accounts c. NOW account deposits d. money market mutual deposit accounts e. share-draft accounts
A person's tax obligation divided by her income is called her
a. marginal social tax rate. b. marginal private tax rate. c. marginal tax rate. d. average tax rate.