The provision of loan guarantees can improve economic efficiency when:
A. There's a moral hazard problem among investors
B. The project supported has significant external benefits
C. There is regulatory capture in the industry
D. The private investors are providing too much funds to the project
B. The project supported has significant external benefits
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Individuals who have stopped looking for work after an active search because of the lack of transportation or lack of affordable child care, etc. are classified as ________ workers
A) very lazy B) marginally attached C) nonfunctional D) non-contributing
Plurality voting ___________ the ideal voting-system criteria.
A. meets all B. fails one of C. fails two of D. fails all of
When the CPI increases from one year to the next:
A. inflation has occurred. B. deflation has occurred. C. there has not been a change in the overall price level. D. the impact to the general standard of living is hard to measure.
If a permanent drop in demand causes a monopolist to earn below-normal profits in the long run, this monopolist
a. will always exit the market in the long run b. will be forced by the government to continue operating in the long run c. may continue operating in order to avoid alienating its customers d. will exit the market in the long run only if it cannot cover its fixed costs e. will use limit pricing to reduce the size of its loss