For a good whose production creates a pollution, when marginal social cost equals marginal social benefit, then
I there is no pollution.
II resources are utilized efficiently.
A) I only
B) II only
C) neither I nor II
D) both I and II
B
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Which of the following is probably the best example of a free good?
A) The air in your college classroom B) A can full of garbage put out for trash collectors C) Interstate highways D) Free concert tickets, which were given to you by a friend
The table above shows the number of pounds of bricks that can be produced by the Red Brick Company as the number of workers hired increases. The brick market is perfectly competitive and each pound of bricks sells for $20
The labor market is competitive and the wage rate is $30 an hour. When the Red Brick Company maximizes its profit, it produces ________ bricks an hour. A) 19 B) 21 C) 22 D) 10
Which of the following is a determinant of price elasticity of demand?
a. Availability of substitute goods b. Excess capacity c. Scale of production d. Inventories e. Cost of production
The graph depicting the inverse relationship between the economy's rate of unemployment and rate of inflation is called the
a. Laffer curve b. aggregate expenditure model c. Keynesian cross d. Phillips curve e. consumption curve