Keeping in mind the Coase theorem, in the figure above, if the residents of the town own the lake, how much do they charge the factories to dump waste?
A) $30 per ton of pesticide produced
B) $40 per ton of pesticide produced
C) $20 per ton of pesticide produced
D) Nothing
A
You might also like to view...
A classic early example of efficiency wages came in ________
A) Nazi Germany B) 1973 with the increase in OPEC-determined oil prices C) 1914 at the Ford Motor Company D) 1890 with the Sherman Antitrust Act
Answer the following statements true (T) or false (F)
1. A nation that imports more than it exports has a surplus balance of trade. 2. Whenever planned injections exceed planned leakages, total spending is less than total output. 3. Taxes are a leakage from the circular flow. 4. The GDP is the current market value of final goods and services produced by the nation’s economy over a period of time. 5. Constant-dollar GDP and real GDP are the same thing.
Susan and Calvin paint houses. Susan consistently paints about 400 square feet of a house's exterior per hour, while Calvin consistently paints about 300 square feet per hour. Susan's __________ exceeds that of Calvin
Fill in the blank(s) with correct word
Since people generally know that celebrities are paid to endorse products, celebrity endorsements signal to consumers that:
A. the product is likely to be popular. B. the celebrity loves the product. C. only rich people can afford the product. D. All of these