The lower the tax rate, the ________ the after-tax profits and the ________ the after-tax net present value of an investment.
A) higher; higher
B) lower; lower
C) higher; lower
D) lower; higher
A) higher; higher
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Three hundred paper mills compete in the paper market. The total cost of production (in dollars) for each mill is given by the formula TC = 1,000Qmill + (Qmill)2, where Qmill indicates the mills annual production in thousands of tons. The marginal external cost of a mill's production (in dollars) is given by the formula MEC = 200 + 2Qmill. Finally, annual market demand (in thousands of tons) is given by the formula Qd = 200,000 - 100P. What is the efficient quantity?
A. 34,286 B. 131,429 C. 1,200 D. 90,000
As of late 2012, what was the all-time high price for an ounce of gold?
A) $1078 B) $1780 C) $7800 D) $14,163
When the Patient Protection and Affordable Care Act is fully implemented, it will
a. substantially reduce the share of health care expenses paid by a third party. b. require individuals to pay an annual tax-penalty of up to $695 if they do not have an approved health insurance plan. c. require firms with fewer than 50 employees to provide health insurance for their workers. d. make it legal for individuals to purchase health insurance from an insurer in another state.
Refer to Figure 7-1. The market equilibrium price is
A) $30. B) $25. C) $20. D) <$20.