Common property ownership most likely leads to
A) an efficient allocation of resources.
B) production at a rate at which price is less than social cost.
C) a decrease of externalities.
D) an increase in pollution.
D
You might also like to view...
Carefully define the following terms and explain their importance to the study of economics. a. Resources b. Rational decision c. Scarcity d. Opportunity cost
What will be an ideal response?
Refer to Table 4-6. The table above lists the marginal cost of polo shirts by Marko’s, a firm that specializes in producing men’s clothing. What will happen if the price of polo shirts decreases from $15 to $10?
A) consumers will buy no polo shirts.
B) the marginal cost of producing the third polo shirt will increase to $25.
C) producer surplus will fall from $13 to $3.
D) there will be a shortage of polo shirts.
In a labor market with one employer, the MFC is:
a. above the labor supply curve. b. above the labor demand curve. c. what determines the wage. d. downward sloping. e. perfectly horizontal.
Which of the following will not increase the demand for iced tea?
a. an increase in advertising that makes drinking iced tea more appealing b. an increase in the price of iced coffee, a substitute product c. an increase in the income of consumers (assume that iced tea is a normal good) d. a decrease in the price of iced tea