Which of the following changes in taxes would lead to the smallest increase in consumption?
a. a $20,000 decrease in taxes, if MPC equals 0.5
b. a $12,000 decrease in taxes, if MPC equals 0.75
c. a $15,000 decrease in taxes, if MPC equals 0.6
d. a $30,000 decrease in taxes, if MPC equals 0.25
d
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The chartering process is similar to ________ potential borrowers and the restriction of risk assets by regulators is similar to ________ in private financial markets
A) screening; restrictive covenants B) screening; branching restrictions C) identifying; branching restrictions D) identifying; credit rationing
In general, we would expect the marginal cost of pollution abatement to be
A) zero. B) decreasing. C) increasing. D) constant.
First movers
A) are usually firms with large market share. B) are the first to bring out a new product. C) usually copy successful products. D) are mainly found in the computer industry. E) have memorable trade names.
Typically, division of labor and specialization result in
a. increases in labor productivity b. decreases in the marginal physical product of labor c. decreases in the marginal revenue product of labor d. decreases in the total output produced by labor e. decreases in efficiency because workers are laid off