If a good that generates negative externalities were priced to account for spillover costs, then its:
A. price would increase and its output would decrease.
B. price would increase, but its output would remain constant.
C. output would increase, but its price would remain constant.
D. price would decrease and its output would increase.
Answer: A
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Gross Domestic Product is equal to the market value of all the final goods and services ________ in a given period of time
A) produced and consumed within a country B) consumed by the citizens of a country C) consumed within a country D) produced within a country E) produced by the citizens of a country
Explain why tariffs are a primary revenue source for less-developed countries but not for developed countries
What will be an ideal response?
If a nation borrows $250,000 each in the first, fourth, and fifth year and repays $50,000 each in the second and the third year, the value of government debt at the end of the fifth year is _____
a. $500,000 b. $650,000 c. $100,000 d. $250,000
Accounting profit differs from economic profit because:
a. of differences in the manner in which revenue is calculated. b. economic costs include depreciation, while accounting costs do not. c. accounting costs are generally higher than economic costs because accounting costs include explicit and implicit costs, while economic costs include only explicit costs. d. economic costs are generally higher than accounting costs because economic costs include all opportunity costs, while accounting costs include explicit costs only.