The optimal level of provision of public goods is where society?s total willingness to pay per unit is equal to the
A. total cost of producing the good.
B. marginal cost of producing the good.
C. variable cost of producing the good.
D. average cost of producing the good.
Answer: B
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The short run Phillips Curve shows there is ________ relationship between the unemployment rate and the rate of inflation.
A. a positive B. a constant C. a negative D. no
During recessions, government expenditure automatically
A) rises because of programs such as unemployment insurance and Medicaid. B) falls because of programs such as unemployment insurance and Medicaid. C) falls because of the progressive income tax system. D) rises because of the progressive income tax system.
In recent decades,
A) trading in financial futures declined in importance relative to trading in agricultural and mineral commodities futures. B) trading in financial futures increased in importance relative to trading in agricultural and mineral commodities futures. C) trading in agricultural and commodities futures was discontinued. D) trading in financial futures was discontinued.
The regulation of the prices charged by insurance companies is known as
A) the Federal Register. B) social regulation. C) the market share test. D) economic regulation.