All of the following generate positive externalities EXCEPT
A. requiring proof of inoculation before entering college.
B. requiring proof of inoculation before entering elementary school.
C. public health programs.
D. a lower marginal tax rate for a household's income.
Answer: D
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Changes in which of the following do NOT shift the AS curve? i. the price level ii. potential GDP iii. the money wage rate
A) i only B) ii only C) iii only D) i and ii E) i, ii, and iii
If AVC=$15 and AFC=$10, then ATC=
a. $25 b. $5 c. $15 d. $10
Some critics of antitrust are worried that some firms
a. will seek to increase competition to a dangerous level. b. will collude in order to avoid the laws. c. may use antitrust to prevent competition. d. may go out of business from large damage awards.
Assume, for Colombia, that the domestic price of coffee without international trade is higher than the world price of coffee. This suggests that
a. other countries have a comparative advantage over Colombia in producing coffee. b. Colombia has an absolute advantage over other countries in producing coffee. c. Colombia will export coffee if international trade is allowed. d. Colombian coffee buyers will become worse off if international trade is allowed.