According to the above figure, if steel mills are charged an effluent fee in order to bear the cost of pollution, what happens to the equilibrium price and equilibrium quantity?
A) They are unchanged.
B) They change from P1 and Q1 to P2 and Q2.
C) They change from P2 and Q2 to P1 and Q1.
D) The equilibrium price increases from P1 and P2, but the equilibrium quantity is unchanged.
B
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Refer to the figure below. When the price is equal to 8, the price elasticity of demand for the demand curve D1 is ________ and for D2 the price elasticity of demand is ________. 
A. 1; 4 B. 4; 1 C. 2; 4 D. 4; 4
What do you think are the most serious obstacles to further progress in the developing world?
What will be an ideal response?
You would expect that your firm is experiencing increasing returns to scale if
a. Long run average costs increase with output b. Long run average costs decrease with output c. Long run average costs are constant with respect to output d. None of the above
An economy can have an abundant supply of labor, capital, and natural resources but still produce goods and services inefficiently
Indicate whether the statement is true or false