Natural gas is a natural monopoly. The figure above shows the market for natural gas in the city of Lucknow. When an average cost price rule regulation is imposed, the price per household per month is ________
A) $20 and 30,000 households are served
B) $40 and 40,000 households are served
C) $40 and 30,000 households are served
D) $60 and 20,000 households are served
C
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Full employment exists when
A) there is only frictional and structural unemployment. B) the economy is at the natural unemployment rate. C) there is no cyclical unemployment. D) All of the above answers are correct.
The arrival of Michael Jordan, Larry Bird, and Magic Johnson in the 1980s increased the popularity of pro basketball. This led to
a. an increase in the equilibrium quantity of professional basketball b. a decrease in the equilibrium quantity of professional basketball c. a decrease in the price of professional basketball tickets d. a decrease in pro basketball players' salaries e. an increase in the price of professional basketball tickets but no change in game attendance
The Coase Theorem states that the private sector can achieve environmental efficiency, as long as property rights are clearly assigned
a. True b. False Indicate whether the statement is true or false
According to the Coase theorem, the private market will need government intervention in order to reach an efficient outcome
a. True b. False Indicate whether the statement is true or false