Why don't people take into consideration the external costs of their actions and reduce the amount of externalities?
What will be an ideal response?
People have no incentive to take into consideration the external costs of their actions. Since their utility or income would be lower if they bore all the costs associated with their activities, most people will not do so voluntarily.
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Answer the question on the basis of the following information. A farmer who has fixed amounts of land and capital finds that total product is 24 for the first worker hired; 32 when two workers are hired; 37 when three are hired; and 40 when four are
hired. The farmer's product sells for $3 per unit and the wage rate is $13 per worker. Refer to the given information. The marginal product of the second worker is: A. 24. B. 8. C. 5. D. 1.
What is shown by the budget line in a two-product (A and B) case? Describe what happens when there is a change in income or the price of a product
Please provide the best answer for the statement.
What is the natural rate of unemployment, and what types of unemployment constitute the natural rate of unemployment?
What will be an ideal response?
Refer to the information provided in Figure 7.8 below to answer the question(s) that follow. 
Figure 7.8Refer to Figure 7.8. The slope of isocost CE is
A. -1. B. -2/3. C. 0. D. indeterminate from this information, as the prices of capital and labor are not given.