What is marginal damage cost?
What will be an ideal response?
Marginal damage cost is the additional harm done by increasing the level of an externality-producing activity by one unit.
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The opportunity cost of college is the same for all students who are receiving full-tuition scholarships
a. True b. False
An example of a Pigovian tax would be a tax on:
A. income. B. cigarettes. C. corporate capital gains. D. All of these are examples.
Use the table below to answer the following question.ProducerMinimum Acceptable Product PriceActual Product Price (Equilibrium Price)Kimberly$6$13Drake713Nicki913Victoria1113If the equilibrium price increases, the
A. consumer surplus will increase. B. producer surplus will decrease. C. producer surplus will increase. D. allocative efficiency will increase.
Exhibit 7-13 Price and cost per unit curves
?
In Exhibit 7-13, if the price is P3, total economic profit is maximized or economic loss minimized at the output:
A. Q1. B. Q2. C. Q3. D. Q4.