Why can't private individuals always internalize an externality without the help of government?
a. Legal restrictions prevent side payments between individuals.
b. Transactions costs may be too high.
c. Side payments between individuals are inefficient.
d. Side payments between individuals are insufficient.
b
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Suppose your college sharply raises tuition rates next year. Other things constant, what is the least likely to occur?
A) The overall demand for courses at your college will fall. B) Your college bookstore will sell fewer textbooks. C) It will be easier to find parking at your college. D) Fewer students will use your college library.
Refer to the scenario above. After the implementation of the tax, Thomas's expenditure on wine will:
A) remain the same. B) increase by $50. C) decrease by $50. D) increase by $100.
Events that shift the Ap demand schedule to the left also cause ________ the IS curve
A) movements downward along B) movements upward along C) parallel rightward shifts of D) parallel leftward shifts of
Which of the following areas of the world experienced virtually no change in its poverty rate from 1981 to 2010?
A. sub-Saharan Africa B. China C. India D. South Asia