In which of the following externality situations would it be most likely that voluntary agreements could be used to internalize an externality?
A) littering on highways
B) overharvesting of alligators in Louisiana
C) poaching of elephants in Africa
D) trees of one neighbor blocking a view of another
D
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The term compensating wage differential refers to:
a. the bargaining capacity of a monoposonist in the labor market. b. the wage differences that arise from differences in the risk involved in different jobs. c. the criteria on which a firm offers a 401K plan to all its employees or just some employees. d. the wage differences that arise from difference in productivity of the workers in a firm. e. the negotiating power of the trade union.
Which of the following economic perspectives for decision making is a statement that describes the world as it is?
a. Positive statement b. Normative statement c. Cognitive statement d. Reflective statement
The use of automated teller machines (ATMs) has caused some bank tellers to lose their jobs. This is an example of
a. cyclical unemployment. b. seasonal unemployment. c. frictional unemployment. d. structural unemployment.
Explain why wage rates might rise at Joe's Quik-Print Shop if Joe replaces his aging copy machines with state-of-the-art copy machines.
What will be an ideal response?