In drilling a new oil well in an existing oil field, the fact that output on existing wells is reduced means that
a. existing wells have negatively sloped marginal cost curves.
b. existing wells and new wells are owned by different people.
c. existing wells and new wells are owned by the same people.
d. there is a discrepancy between private and social marginal costs.
d
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Answer the next question based on the following data. All figures are in billions of dollars.Gross investment$18Net exports2Residential fixed investment5Inventory investment3Net investment13Consumption (depreciation) of fixed capital is ________.
A. $5 B. $15 C. $13 D. $16
A natural experiment is an empirical study:
A) in which the predictions of the model are not required to be tested with data. B) in which some process, outside the control of the experimenter, has assigned subjects to control and treatment groups in a random or nearly random way. C) in which the researcher assigns subjects to control and treatment groups to verify a cause-effect relationshi
If the demand for labor is unchanged, an increase in the supply of labor will lead to
A) a decrease in the quantity of labor demanded and a decrease in the equilibrium wage. B) a decrease in the quantity of labor demanded and an increase in the equilibrium wage. C) an increase in the quantity of labor demanded and an increase in the equilibrium wage. D) an increase in the quantity of labor demanded and a decrease in the equilibrium wage.
One of the reasons we know that international labor mobility has been higher at other times is because
A) the percent of our population that was foreign born was higher. B) the percent of our population that was foreign born was lower. C) wages were lower. D) labor was important in agriculture. E) the population was younger.